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‘Take Two shares will plummet without us,’ warns Riccitiello

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‘Take Two shares will plummet without us,’ warns Riccitiello

EA boss says stock price will reach ‘scary’ levels if his firm pulls out of acquisitive bid

CEO of Electronic Arts John Riccitiello has cautioned Take Two’s Board against trying to dissuade its stakeholders from accepting EA’s ‘hostile’ offer for the firm – warning that the move could have a devastating effect on the publisher’s shares.

Take Two yesterday urged its shareholders to ‘take no action’ over EA’s tender bid for the firm – which saw the mega-publisher offer individual investors $26 per share.

"If we don't conclude this transaction, if we walk because of whatever level of inability to get this done, the scary thing is what the stock trades at after we leave, not after 29 April [GTA’s release date]," Riccitiello told the BBC.

In response to a question about what EA would do should Rockstar staff leave, Riccitiello added: "There is no doubt that EA is several times larger than Take Two - everyday somebody walks in and somebody walks out.

"If the wrong guy walks out, we have an issue to deal with. But we don't stop making games."

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posted by MGB Mar 14, 2008 at 10:49 am
1
MGB

Should be illegal to manipulate share prices with such posturing.

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Re: Shares plummet

posted by Barker Mar 14, 2008 at 11:38 am
2
Barker

LOL
Congrats to the dude for speaking the bleedin obvious.
The share value has risen 65% because of the bid, so of course they will drop back if EA back out.

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Re: Shares plummet

posted by LastDance Mar 14, 2008 at 11:42 am
3
LastDance

This ***** needs a punch in the nose. EA are terrible at what they do so they buy all the decent developers and then all they do is leave.

Cop a load of all the wicked C&C games EA thrashed out of a pie hole that were absolute junk.

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Re: Shares plummet

posted by Ravanor Mar 14, 2008 at 12:42 pm
4
Ravanor

EA does have a track record of just remaking the same game as the previous year. It is obvious EA has recognized this and has allowed aquisitions to use their talents with such games as Army of Two and so on. I dont like what EA has done to the gaming industry by taking a money hungry approach to just update graphics and release the same game as the previous year. In my opinion they completely destroyed the C & C franchise. I liked the actors in the latest game but the actual game was rubbish. EA needs to listen to their people and stop letting the money holders micromanage every aspect of their business. Some of the most risky and unacceptable games have been huge successes. I think it would help if the talent left Take Two if bought by EA. Trust me EA wont really care and if any of the top dogs at Take Two think they are going to be keeping their jobs if bought by EA then they are crazy. EA will fire them for revenge and making EA go through all this while trying to buy Take Two.

Word of advice to EA.... Set yourself as an industry leader by keeping Take Two management in place and show your customers that you care about something more than cash.

The MAJORITY opinion is that gamers hate EA. Gamers will only put up with EA for so long as more and more publishers release great games and EA continues to update graphics and release the same crappy games.

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Re: Shares plummet

posted by Dhalsim Mar 14, 2008 at 12:59 pm
5

yes, but you're looking at it from a very limited perspective. the reason ea follows the business practices that it does is that doing so has elevated it to the position of the most successful publisher in the world. you seriously think they should turn their back on those practices and instead listen to a minority of hardcore gamers whining on internet forums? wake up son.

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Re: Shares plummet

posted by ChoZanWan Mar 14, 2008 at 1:38 pm
6

It's the majority of HARDCORE gamers that loathe EA. Joe Bloggs is only interested to know when the next FIFA or NFS comes out.

I don't know of many studios that EA own outside internal ones that have suffered because of being owned by them. Criterion seems to be doing OK, as do Bioware and others.

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Re: Shares plummet

posted by John Harrison Mar 14, 2008 at 3:37 pm
7
John Harrison

quote
I don't know of many studios that EA own outside internal ones that have suffered because of being owned by them. Criterion seems to be doing OK, as do Bioware and others.
endquote

YOu mean like origins, westwood, and just about every one of the old school studios that EA has acquired whose games went to crap after being acquired by EA. And btw, Im pretty sure Blizzard is the most sucessful company if you go by profits to spending, and Activision Blizzard is worth more than EA is.

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Re: Shares plummet

posted by MGB Mar 14, 2008 at 3:58 pm
8
MGB

They're just cherry-pickin the big releases and killing off the competition in one easy move :)

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Re: Shares plummet

posted by you what? Mar 16, 2008 at 12:39 pm
9
you what?

EA-"We are the Borg, resistance is futile!"

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Re: Shares plummet

posted by Onehunglow Mar 16, 2008 at 4:50 pm
10

EA havent made a profit now for a couple of years so they are in a panic. However, saying that you need to change is one thing, but doing it is the other.

And their 'if we can't make it, buy them' attitude sucks. Army of two, despite all the hype, is only average.

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Re: Shares plummet

posted by Dhalsim Mar 17, 2008 at 9:41 am
11

All still ignoring the fact that no-one makes anyone buy EA games. I know you think I'm being a tool by labouring the point, but I think it's important - if people really hated what EA was doing, they wouldn't buy their games. But they do buy them, so obviously they don't hate them.

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