EA to Take-Two: OK, we'll give you an extra week
In the latest in a series of back-and-forth press releases, Electronic Arts has amended its takeover offer for Take-Two Interactive.
Electronic Arts has amended its takeover offer for smaller video-game publisher Take-Two Interactive.
According to an EA representative and an EA filing Friday with the Securities and Exchange Commission, the offer has been extended to Friday, April 18, instead of Friday, April 11. (EA's own press release incorrectly states that April 18 is a Wednesday. Oops.)
In addition, EA added a new condition to its offer: Take-Two must chuck its "poison pill" shareholder rights plan designed to deter the takeover.
Earlier this week, Take-Two, adopted the poison pill, and moved its annual shareholder meeting from April 10 to April 17. EA is apparently following suit with its date change.
"The actions of the Take-Two Board may increase the risk for their stockholders by delaying a potential transaction," Owen Mahoney, EA's senior vice president of corporate development, said in Friday's press release. "We continue to believe that our $26 per share offer price is full and fair, and that a transaction between Take-Two and EA is the most compelling combination financially, strategically and operationally for all parties."
EA's attempt to take over Take-Two has been an ugly one, withdoing much of the negotiation.