As expected, Electronic Arts has extended its tender offer for outstanding shares of Take-Two Interactive.
EA issued a press release this morning announcing that yesterday’s deadline has been extended to July 18th. EA exec Owen Mahoney is quoted in the press release:
Our offer price remains unchanged at $25.74 per share, which is a substantial premium to where Take-Two’s stock was trading prior to our offer. We congratulate Rockstar on the successful launch of GTA IV but believe our offer reflects a full and fair price based on the long-term value of Take-Two’s entire operation.
EA also noted that extending the deadline will permit the Federal Trade Commission’s review of the proposed merger to continue. Based on the number of shares reported tendered, EA has made no progress since the last extension.
UPDATE: Not unexpectedly, Take-Two has issued a press release urging sharholders to reject EA’s offer.