Icahn Grabs Bigger Stake in Take-Two

December 21, 2009 -

Billionaire financier Carl Icahn has increased his stake in Take-Two Interactive to 11.3 percent, up from 2.5 percent, according to a filing with the SEC.

Icahn, known for his shrewd business moves, has always had an interest in videogame companies, and this latest purchase has analysts specualting on the future of Take-Two and why Icahn purchased his stake at this particular time. His purchase of 5.9 million shares and more than 783,000 options makes him the company's second largest shareholder.

Earlier this year, Take-Two spurned a $25.74-a-share acquisition offer from Electronic Arts. Now, with Icahn more involved, analysts think something is imminent with Icahn looking to cash in on undervalued shares. With the announcement of Icahn's purchase, Take-Two shares jumped more than 9 percent on Friday to close at $9.01.

According to a Reuters story, analyst Michael Pachter, who montiors the industry for Wedbush Morgan, said that Icahn may force a sale of Take-Two:

"I don't think as an activist he wants to run a company, I think it's much more logical that he would sell the company," Pachter said.

Pachter also said that Icahn has a history with Take-Two chairman Strauss Zelnick, whom Icahn nominated to the board of Blockbuster in 2005.

Another scenario, according to analyst Mike Hickey of Janco Partners, is to sell off parts of the company, such as 2K Sports:

"There's the opportunity to unlock some significant value, they could look at the pieces of the business," Hickey said.

It will be interesting to see what Icahn has planned for the company and how it impacts some of the company's most reconizable franchises, such as Grand Theft Auto and BioShock.


Comments

Re: Icahn Grabs Bigger Stake in Take-Two

NOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOO

Never underestimate the power of idiots in large amounts.

Never underestimate the power of idiots in large amounts.
 
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WonderkarpFudge, for some reason sometimes when I access Gamepolitics on my phone, it shoots me over too my app store. I think its the Ads05/28/2015 - 9:58am
WonderkarpI'm not perpetually offended. I'm an regular viewer of South Park. I have a problem with people saying gamergaters are school shooters. That and lets be honest. I dont like MechaRash05/28/2015 - 9:55am
Ivresse@MechaCrash: I'd like to refer you to the words of Stephen Fry: https://pbs.twimg.com/media/CGA3QGHW8AARsax.jpg05/28/2015 - 9:43am
Wonderkarpalright Fudge05/28/2015 - 9:27am
MechaCrashWhat good is being one of the perpetually offended if you don't make sure everybody sees just how offended you are?05/28/2015 - 9:02am
james_fudgeYou two can reasonably slug it out in the article in question if you want :)05/28/2015 - 8:59am
MechaCrashI wasn't expecting you to drag it into the shoutbox, either. Just when I think I have you pegged, you prove me only MOSTLY right.05/28/2015 - 8:55am
MechaCrashWhat argument? You made a joke in bad taste. I made a response joke in similar bad taste. And you are going berserk with...okay, not the flavor of HOW DARE YOU I was expecting (I thought you'd No True Scotsman, instead you dodged it entirely).05/28/2015 - 8:52am
Wonderkarpfyi, thats a self made "REDACTED" to make Mr Fudges life a little easier.05/28/2015 - 8:50am
Wonderkarphow is calling somebody out for being a [REDACTED] throwing a Tantrum? Is it cause you cant dispute my argument?05/28/2015 - 8:46am
MechaCrash"Grow a thicker skin," says the person throwing a tantrum that's filling the shoutbox.05/28/2015 - 8:40am
Wonderkarpbeen a bombing had Sarkeesian spoke, because there would be an increase police presence and nobody is THAT STUPID to make a threat like that and follow through. This isnt the movies05/28/2015 - 8:35am
WonderkarpIts what you make of them. GamerGate in DC had a bomb threat. Police were there, but GG continued to enjoy themselves and have a good time. Bomb Threats in general, you give them to the police and continue your business. I guarantee there wouldnt have05/28/2015 - 8:34am
MechaCrashhttp://www.sltrib.com/sltrib/news/58521856-78/sarkeesian-usu-video-feminist.html.csp Remember the talk Sarkeesian had to cancel because of death threats? Yeah. That's the thing I'm talking about.05/28/2015 - 8:30am
WonderkarpI'm not defending Bomb Threats. They are idiotic and have no place in society, but as somebody who lived through several bomb threats I can tell you they are weak05/28/2015 - 8:29am
WonderkarpSchool Shootings on the other hand are violent events that end the lives of children and come without proper warning due to mental illness and gun laws.05/28/2015 - 8:28am
Wonderkarpcause Bomb Threats are what you make of them. No successful bombing in the US has had a threat posted about it beforehand. Boston Marathon? Okahoma City? You either handle it with caution or dont handle it at all. most of the time ar done as stupid pranks05/28/2015 - 8:27am
Infophile@MechaCrash: One difference is that there's actual evidence linking GGers (or their ideological allies) to bomb threats, and no link to school shootings. For instance, we hate Jack Thompson here, but let's not accuse him of eg. committing grand theft auto05/28/2015 - 8:26am
james_fudgeGo to your corners and let the cutman do his work.05/28/2015 - 8:21am
MechaCrashHm, yes, "lol aGGs make bomb threats" is vastly different from "lol gaters threaten school shootings." Yes, I see the error of my ways! ...wait, no I don't, I see that you're still a hypocrite who can dish it out but not take it.05/28/2015 - 8:21am
 

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