No Regrets, No Responsibility: Take Two chairman Strauss Zelnick

[theRepublic]

NJ5 said:

theRepublic said:

"To this day, I don’t know what [EA] was up to. Everyone knew they couldn’t have been unmindful of the fact that their initial offer couldn’t have been a final offer… It’s hard to imagine what we could have done better. My job is to ensure value for the shareholders."

Take Two lost over half of its value in the months after EA announced it was giving up on its hostile bid attempt.

I think it is silly to blame him for this. It was the rumor of the take over that pushed the stock up so high in the first place. Of course the value is going to come down when it turns out the take over is not going to happen after all.

Here are the facts:

- The stock price was about $17 before EA did their offer.

- After EA did their $26 offer, shares went up to about $26. Zelnick says Take Two is worth so much more, so they decline EA's offer.

- It's now worth $9.

 

I know, but I'm sure there are other reasons for the further dip.  I'm just not really interested in going through old news to find out why.