Waitin' Until Friday: Where Things Stand On EA-T2

The deadline for Electronic Arts' bid to acquire Take-Two is this Friday, May 16th, so we thought it'd be a good time to review what we've learned so far to see where things currently stand.

First off, there's no shame in being the type whose eyes glaze over every time you hear something to do with "the market" or "analysts" or "diluted shares," and since this ongoing saga contains these phrases at several junctions, you may want to start with the easy, albeit detailed, summary of the whole works we recently wrote for you.

Still with me? Hit the jump for your handy roundup of our recent coverage:

EA's Riccitiello Talks "Holographic" Madden Interface, No Need For Take-Two

On Electronic Arts' call to investors, CEO John Riccitiello promised "a great year" to come for EA Sports — and referred to a "new holographic interface" for Madden's 20th anniversary incarnation.

Holographic... interface?

Riccitiello also promised that the next NBA Live would take "a huge step up," with new features set to be unveiled at E3.

EA seems enthusiastic about its sports franchises, and Riccitiello says he expects EA Sports will help drive the company to an additional $1 billion in revenue and an 100 percent increase in operating income. Riccitiello was optimistic about the company's studio structure in general, also listing big things ahead for the Sims Studio: Two sequels for MySims, a new SimAnimals title, and the launch of The Sims 3.

"Our fiscal 09 operating plan keeps us on track to achieve our fiscal year target - even without Take Two," Riccitiello said.

GTA IV's PS3 Problems To Be Fixed Via Firmware Update?

EA Once Turned Houser Away

Many analysts have theorized that Electronic Arts' ongoing bid for Take-Two has quite a lot to do with the talent in the Rockstar stable. In a recent interview with The Wall Street Journal, Rockstar's Sam Houser reveals he actually wanted to work for EA in the 1990s - and was rejected for a job.

Now, though, Houser tells the WSJ that in the event of an acquisition by EA, Houser wouldn't mind being "a much smaller fish in a much bigger pond."

EA Takes Out $1 Billion Loan For Take-Two Acquisition

SEC filings have revealed that Electronic Arts borrowed $1 billion from Morgan Stanley and other lenders to help finance a possible acquisition of Take-Two.

"There's no news here," said EA VP of communications Jeff Brown. "This is just a process point on something we announced in February."

With $2.3 billion on hand in cash, cash equivalents and short-term investments, EA already has the funds available to do the deal as it currently stands. With the deal not contingent on financing, why borrow more money?

"It helps us maintain maximum flexibility for any opportunities," said Brown.

Take-Two had no comment as of press time.

Analyst: Record GTA Sales Change Nothing For EA's "80/20" Take-Two Bid

Record-setting launch numbers for Grand Theft Auto IV had no significant impact on Take-Two's stock price this morning, lending credence to analyst views that the share price already included the expectation of extraordinary first-week sales of the title.

What does this mean for EA's ongoing bid for Take-Two? Cowen and Co. analyst Doug Creutz said this morning that even the GTA IV launch couldn't have elevated the share price from January's 17 dollars per share to its current 26-dollar range, and that right now the elevated price is due to investor eagerness for the sale.

"Take-Two's self-imposed moratorium [on negotiations] is over," said Creutz. "We haven't heard anything out of either company in the last week. They could be talking... I still think the odds that the deal happens that are very high... I don't think GTA changes that at all."

Take-Two Confirms GTA's Half a Billion Week

NYT: GTA IV's Sold 6 Million Copies, Made $500 Million

Take-Two: CTA Won't Talk GTA

Take-Two Sues CTA Over Yanked GTA IV Ads

Take-Two isn't impressed with the Chicago Transit Authority's ability to crumble in the face of near-controversy, as it has filed suit against the CTA and ad provider Titan Outdoor for pulling Grand Theft Auto IV bus ads prior to the game's release. Those ads—bus billboards and station posters—were quickly yanked after a local Fox News affiliate wondered across the airwaves why the CTA was displaying paid for advertising for the Rockstar title.

We can only assume, based on the Reuters report, that Take-Two is also curious about the particulars involved in the removal of the $300,000 advertising program. The publisher filed the suit in a Manhattan court, claiming the CTA's actions violated "its free speech and contractual rights," officially.

The Fox News report that appears to take credit for the removal of the ads can still be seen online, for those looking for masochistic punishment delivered in the brain dead local news fashion.

"Grand Theft Auto" publisher sues over pulled ads [Reuters]

Industry Insiders Discuss ESA, E3's Future

What's the fate of E3, and of the Entertainment Software Association? It's worth examining in light of recent events. This morning we broke the news that two major publishers, Activision and Vivendi, have decided to take a pass on the event and exit the trade association, while other companies have withdrawn their E3 attendance as well. At the same time, the ESA appears to be facing stirrings of industry discontent with the ESA's leadership, namely its current president, Mike Gallagher.

E3 is not the boon to publishers that it once was, says Penny Arcade's director of business development Robert Khoo, who as the organizer of the PAX fan expo clearly has an interest, to say the least, in how things turn out.

"The reason that E3 imploded in recent years was because the publishers felt that it turned into this sort of pissing contest between them... where they were trying to figure out who could one-up each other," Khoo said. "They all thought to themselves that it just wasn't worth it."

GTA IV Runs At 630P on PlayStation 3, So What's That Mean?

EA: We're After More Than "Game Of The Year" GTA IV

Electronic Arts reiterated this morning that its $2 billion buyout offer for Take-Two is not based on the company's short term valuation, and neither is it affected by the performance of a certain single franchise (guess which?).

Yesterday Take-Two's stock nudged up over $26 per share, a higher value than EA's $25.74 per-share bid. But EA's Mariam Sughayer, senior manager of Corporate Communications, says the company's looking further down the line — despite predicting that GTA IV is the likely contender for game of the year.

360 GTA IV Is Region-Locked

Amazonians Buying Wii Fit And Mario Kart Faster Than GTA IV

Be Happy That You Aren't Buying GTA IV In Denmark (Sorry If You Are)