Analysts, of both the professional and the armchair varieties, suspected that Take-Two's stock was set to take a big leap with the major title launch, thereby forcing EA to raise its offer. And it's true that Take-Two's stock has drifted up a little bit higher this week to over $26 per share by a handful of change, trumping EA's current offer of $25.74.

Talking to the New York Times recently, Strauss Zelnick says the increase proves the wisdom of his strategy. Some possible flaws in his logic, however, make the situation a little less clear-cut.

Zelnick told the Times:

"The critical and consumer response to Grand Theft Auto IV vindicates our strategy of waiting until the launch with regard to E.A.'s offer," said Strauss Zelnick, the chairman of Take-Two, in a statement.

Enthusiasm and high critical acclaim for GTA IV leading up to its launch has been unavoidable (as Kotaku readers have doubtless observed in spades). We haven't seen North American numbers yet, but we know it's broken records in the UK. With that in mind, though, wouldn't you expect to see a bigger price jump for the stock than just a little bit of pocket jingle?

Moreover, the increase in Take-Two's share price over the last week pales in comparison to the boost it saw following the EA bid; prior to that, it was trading at a much less-robust $17 per share. As of press time today, the stock has been malingering throughout the morning, sagging slowly back closer to the even $26 mark, and over the past few days, three major analyst groups - Citibank, Janco Partners and the Cowan Group - have downgraded their recommendations from "buy" or "outperform" to either "hold" or "neutral."

EA's Jeff Brown also talked to the NY Times:

"We've seen a share price above and below our offer and it doesn't change anything. We knew the game would be an extraordinary success," said Jeff Brown, a spokesman for Electronic Arts. "All of that was factored into our offer of $2 billion."

So one thing remains the same: Zelnick says EA's shafting him, EA says it isn't. Zelnick may feel vindicated while the stock is over $26 - but if the stock continues to slide rather than climb in the wake of GTA IV's release, as some analysts have suggested it might, he may need to reconsider. Neither Take-Two nor EA look about to blink in this staring contest, though.
Grand Theft Auto IV and Real-World Billions [NY Times]

Wedbush Morgan analyst Michael Pachter saw that similar February spike as a vote of confidence from the shareholders that the acquisition was likely to go through. This time, though, with the state of the buyout apparently in limbo until May 16th, the climb in stock price looks likely due to a voluminous wave of super-hyperbolic positivity from reviewers regarding the imminent GTA IV.

Stressing that their offer is "full and fair," EA senior VP of corporate development Owen Mahoney recently said that any GTA IV-related spikes in Take-Two's share price would be "a short term event," since he agrees with the analyst opinion that investors have already considered the value of GTA IV.

Neither EA nor Take-Two have yet responded to requests for comment on what, if anything, the elevated share price might signal for the ongoing bid.

Company reps told Shacknews earlier this year that they were pursuing development on the Wii, Xbox 360 and PLAYSTATION 3.

Heartwarming press release, with the verb "dovetails", after the jump. Michael McWhertor

Telltale closes $6 million investment round

Funds will be used for new titles, expansion to additional hardware platforms, and additional staff

SAN RAFAEL, CA, June 12, 2007 - Interactive entertainment pioneer Telltale Inc. today announced that it has secured $6 million in Series B funding. Granite Ventures led the round, with IDG Ventures SF also participating. Telltale will use the financing to drive growth in existing and new episodic series, allowing the company to continue defining and refining new models for interactive entertainment and digital distribution. Multi-platform development and new staff additions are key elements in these strategic plans.

The announcement dovetails with the conclusion of Telltale's critically-acclaimed Sam & Max: Season 1, a six-episode game series that launched last fall and had monthly releases through May. As the first episodic series with releases on a regular schedule, Sam & Max: Season 1 has emerged as the first truly successful demonstration of episodic gaming for a mass audience—a major milestone for Telltale.

"Digital distribution is changing entertainment, and Telltale is helping define the new landscape," says Telltale's CEO and co-founder Dan Connors. "This funding will allow us to stay on the cutting edge of innovation by building out our team and our tools, and by taking on new licenses for the episodic treatment."

Telltale's funding comes from Granite Ventures and IDG Ventures SF, two San Francisco-based venture firms that focus on early-stage media and technology companies. Andre Blanadet of the advisory firm avanceventures played a critical role in Telltale's funding success.

"We look for experienced teams that are pioneering new technologies and business models in huge markets," says Chris Hollenbeck, managing director at Granite Ventures, who has joined Telltale's Board of Directors. "Telltale has it all—a great group of people who are changing an industry while doing what they love. We look forward to helping them build the next major player in the gaming industry."

"Telltale has one of the best teams we have seen in the gaming market and we are excited to be associated with them," says Philip Sanderson of IDG Ventures SF. "Entertainment software has undergone a radical change over the past few years in terms of development, content and distribution, and Telltale is on its cutting edge."

Of Granite and IDG Ventures SF, Telltale's CTO and co-founder Kevin Bruner says, "We managed to bring together a fantastic set of investors who share our vision of transforming the way people experience games. We're extremely pleased."

About Telltale
Telltale is a new breed of interactive entertainment company pioneering high-caliber episodic game publishing and development. Founded in 2004 by industry veterans with decades of experience, the company has quickly become a leader in episodic gaming by delivering award-winning interactive experiences that emphasize engaging stories, strong characters, and rich worlds. Telltale has shipped 10 titles to date, using proprietary tools that streamline development of high-quality, cinematic experiences for multiple platforms and digital distribution. These releases include the monthly six-episode series Sam & Max: Season 1, episodes adapted from Jeff Smith's epic Bone graphic novel series, and games based on television's popular CSI program in partnership with Ubisoft. Telltale offers content development and custom publishing services for license-holders interested in interactive adaptations of their properties. Telltale's games are available at the company's website and through select partners such as Turner Broadcasting's GameTap subscription service. To learn more about Telltale, please visit www.telltalegames.com.

About Granite Ventures
Granite Ventures has been helping early-stage technology companies build solid foundations for success since 1992. They focus their investments in the communications and software sectors where their partners have deep domain expertise, broad industry knowledge, and significant investment experience. Granite has managed over $1 billion in venture capital and has invested in more than 90 private companies. They partner with promising and successful entrepreneurs to create businesses that have a competitive edge, and help those businesses achieve category leadership. More information can be found at www.granitevc.com.

About IDG Ventures SF
IDG Ventures SF is a San Francisco-based venture capital firm focused on New Media Technology—the convergence of the media and information technology markets. IDG Ventures SF helps entrepreneurs grow innovative companies using the operational and technical expertise of its General Partners and the unmatched platform of International Data Group, the world's largest IT Media company. IDG Ventures SF is part of the IDG global family of venture funds which have approximately $1.5 billion under management, and have invested in roughly 300 portfolio companies spanning North America, Europe, and Asia.

About avanceventures
avanceventures, headquartered in San Rafael, California, is an advisory, valuation, and mergers and acquisition firm focused on helping privately held companies maximize their financial objectives. To learn more about avance, please visit www.avanceventures.com.