Take-Two announced this morning that the company's board of directors has rejected EA's offer to purchase shares of the company at $26/share. Take-Two calls the offer "inadequate."
The release states:
The Board also confirmed that it will explore alternatives to maximize value for stockholders, which may include a business combination with third parties or with EA, remaining independent, or other strategic or financial alternatives that could deliver higher stockholder value than the current EA offer.
One interesting bit identifies what Take-Two actually would expect out of a combined EA-TakeTwo:
Potential synergies related to a proposed combination include: realizing a sales uplift as a result of a broader reach of distribution infrastructure; leveraging investments in online, wireless and other evolving platforms; optimizing sports offerings; and reducing sales, general and administrative costs significantly.
Take-Two goes on at much greater length about the rejection in this official press release.
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