Pachter says Take-Two's rejection of EA is a mistake |
Ó
Take-Two Interactive surprised a lot of people by not letting itself get bought up by rival Electronic Arts, but not everyone is impressed. Wedbush Morgan analyst Michael Pachter, for one, says the decision is a mistake."We think that the Board has virtually no chance of finding a better offer," says the analyst. "this deal... makes more sense for EA than for any other company, primarily because of the synergies from consolidation of the two companies' sports businesses."
Pachter understands that Take-Two is banking on the imminent success of its main attraction Grand Theft Auto 4 (Playstation 3 and Xbox 360) next month, but says that the publisher's decision not to sell is "naive at best". He adds that Take-Two's US$ 17 per share value won't be able to come close to EA's US$ 26 per share offer even after GTA 4 goes out.
Further, Pachter says that if Take-Two settled for a friendly deal, EA might have given an additional US$ 1 on each share just to sweeten the deal. Now, he says that if EA ever decides to come back to the negotiating table post GTA 4, they'll be offering Take-Two lower rates.
Pachter acknowledges that EA is being opportunistic about the whole matter, but he sees it as a beneficial situation to both companies. He concludes that Take-Two may end up losing more money in the future as an effect of today's decisions.
Via Gamasutra
17 Jumps Dante's Inferno DLC release schedule
Best prices available for:
Contact Us:
The QJ.net Network |
|
| Site | Feed |
| QJ.NET | RSS |
| Nintendo DS | RSS |
| PlayStation 3 | RSS |
| PSP Updates | RSS |
| Wii | RSS |
| Xbox 360 | RSS |
| MMORPG | RSS |
| Personal Computer Games | RSS |
| iPhone - iPod Touch | RSS |
| QJ.NET Forums | RSS |
User Favorites - February
User Favorites - February
Categories
Archives
February 2010
January 2010
December 2009
November 2009
October 2009
September 2009
August 2009
July 2009
June 2009
May 2009
April 2009
March 2009
February 2009
January 2009
December 2008
November 2008
October 2008
September 2008
August 2008
July 2008
June 2008
May 2008
April 2008
March 2008
February 2008
January 2008
December 2007
November 2007
October 2007
September 2007
August 2007
July 2007
June 2007
May 2007
April 2007
March 2007
February 2007
January 2007
December 2006
November 2006
October 2006
September 2006
August 2006
July 2006
June 2006
May 2006
April 2006
March 2006
February 2006
January 2006



Comments
Reply
I go with the person above me.......STFU YOU NOT TAKING GTA ALIVE!!!
Reply
Reply
Reply
Reply
if that's $100 million $1 bills? still not a big deal? T2 will be bought by EA and after that EA will own GTA IP hopefully R* allows themselves to be bought too.Because I would want them to continue making the games.
Reply
He's never right about anything and the things he is "right" about are so obvious a 12 year old could have predicted it.
I'm sick to death of this guy please stop posting his bull*****!
Reply
Reply
Pretty much this was guaranteed when EA let it be known that they want T2, when EA wants to buy you EA buys you.
Reply
Reply
Reply
Reply
However I'm happy that they didn't accept the deal, don't need god quality games to go to the drain
Reply
Reply
first and foremost pachter is a business analyst, and secondly a casual family gamer.
his first and foremost concern is the financial system of a company.
before you kids thought about it, he has thought about it a thousand times, he knows take2 in the hands of EA would be a general monopolization of games, specially in sports titles. he knows what will be the outcome but it is NOT his job to defend the gamers pride. HE IS MERELY STATING OUT WHAT HE PERSONALLY THINKS OF THE SITUATION and who may end up getting what.
suffice to say i am very happy that take2 is still its own company, innovating games in each and every release, whereas the quality of EA has dumbed down consecutively for example the need for speed series, underground 1 was ok, underground 2 was great, most wanted is average, carbon was ok, and the nfs pro street is both dumb and stupid. what next for EA's NFS?
no one is to be blamed, this things happens because business work in many ways and this is just one of em. big companies eating small ones had been going on since the very first days of trading history.
Reply
S
T
F
U
Reply