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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NeenekoI have met some real jerks and slimeballs in gender activism, but when I hear the idea that there are many 'not nice' people it comes across as code for 'uppity people who do not know their place'.09/19/2014 - 12:10pm
Andrew EisenKrono - Many of the people pushing gender issues aren't nice people? I'm sure not everyone's a sweatheart but so far, everyone I've seen with such a critique had absolutely nothing to back them up.09/19/2014 - 10:46am
InfophileI think there's a qualitative difference between a site and a hashtag though. GP can ban anyone from commenting, so they can have the image they want. But anyone can use any hashtag and try to poison it. Granted, that hasn't happened to the other one yet09/19/2014 - 10:13am
E. Zachary KnightKrono, your comparison to GP does not work. We do not need to get rid of GP, because no one associates GP with trolls and abuse. The same can't be said for gamergate.09/19/2014 - 10:09am
Krono@Michael You don't remember the "other hashtag" because no one actually uses it. We're talking 836,983 uses of #gamergate over it's lifetime, and 8,119 for the "alternative". 47,129 uses on the 18th vs 41. With #notyourshield at 140,133 uses & 5,209 uses09/19/2014 - 9:48am
Kronoresearch it. Changing tags to get away from trolls would be like wiping GamePolitics and restarting under a new name to get away from people calling Jack Thompson a filthy names in the comments section.09/19/2014 - 9:35am
Sleaker@quiknkold - seems like all that page is is a bunch of random developer opinions and rumors that we're supposedto do what with?09/19/2014 - 9:31am
Kronoas an opportunity to push back against them. It's one of the things muddling the issue. @conster A new hashtag would do nothing to improve anything. Trolls will simply follow to the new hashtag, and it will confuse the issue for anyone attempting to09/19/2014 - 9:25am
Krono@Andrew aaah. Yes, I'm sure there's some of that. Part of the problem is many of the people pushing gender issues are not very nice people. Basically the latest incarnation of moralists we've seen in the past couple decades. Naturually some will take this09/19/2014 - 9:23am
quiknkoldhttp://www.nichegamer.net/2014/09/real-gamedevs-sound-off-regarding-the-gamergate-controversy/09/19/2014 - 8:35am
MaskedPixelanteMeanwhile, in news that actually DOES matter, Scotland voted "NO" to Scottish independance.09/19/2014 - 8:20am
ConsterSeriously? "We shouldn't make a new hashtag - it's better to associate ourselves with psychos than to decrease our visibility"?09/19/2014 - 7:54am
Michael ChandraI forget what it is exactly, but there already is another hashtag that some use, exactly to separate themselves from the abusive behaviour. So don't bother lying to me.09/19/2014 - 7:06am
quiknkold2 to 3 or more09/19/2014 - 6:53am
quiknkoldMichael Chandra : I'll say this. The only reason they havent used another hashtag is because it would look like a form of dividing the arguement. Using another Hashtag has come up, and they feel like if they made a new hashtag, it'll split the debate from09/19/2014 - 6:53am
Michael ChandraYou want a debate? Build a wall between you and the poisoned well. Make clear you despise it, despise the behaviour. Then get into the other issues you are troubled with, and don't say a single word again about the poisoned well.09/19/2014 - 3:46am
Michael ChandraAnd someone claiming #notyourshield was to be taken serious, when chatlogs show they wanted it going to hide even more harassment behind? Yeah, not buying a word you're saying. You poisoned your own well.09/19/2014 - 3:45am
Michael Chandraallegedly fired over giving a game a mediocre review and the company threatened to pull ads? Sorry but I ain't buying this.09/19/2014 - 3:45am
Michael ChandraBut people arguing this is horrible and just about ethics, even though there's very little support that journalistic integrity was actually violated here, while they never spoke up when a journalist was09/19/2014 - 3:43am
Michael ChandraIf people start with condemning the way GamersGate was used as a misdirection, then use a better hashtag, that would work in convincing me they mean it.09/19/2014 - 3:43am
 

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