Warner in for THQ?

Speculation is mounting that THQ is to be the subject of an acquisition bid in the next few months – with insiders suggesting that Warner is readying an offer.

Shares in THQ soared 13 per cent on Tuesday amid rumours that the publisher – which holds the lucrative WWE game licence – is the target of a takeover offer.

Warner has been aggressively increasing its presence in the global game sector, having recently acquired Midway for $49 million.

Late in 2007, it expanded its game business by snapping up Travellers’ Tales.

"We do think that both Time Warner and Viacom are interested in the gaming space," said ThinkEquity analyst Atul Bagga, quoted in a Wall Street Journal report.

Other entertainment firms that analysts have fingered for a potential bid include Electronic Arts and Fox/NewsCorp.

THQ shares closed at $11.72 on Tuesday, nearly double the publisher’s share price seven days prior.

Some analysts were surprised at the sudden surge in takeover speculation.

MKM Partners analyst Eric Handler remarked that THQ takeover is unlikely in the short term, citing that the company is still at the early stages of rebuilding its IP portfolio.

MCV has contacted the parties involved for comment.

About MCV Staff

Check Also

Ukie and Barclays have announced a new Mobile Games Growth Programme

Ukie and Barclays have announced the launch of a new business support programme,