Take-Two considering sell-out

For all their well-selling GTA games, it seems even Take-Two can't take the financial burn resulting from several share stock scandals, financial issues and numerous lawsuits. Although the company seems to be doing OK, apparently certain investors are looking to overthrow the current board of directors at the organization. As if this weren't enough, the "Hot Coffee" issue only made things worse. Take-Two’s financial results for fiscal 2006 saw the company suffer a net loss of $184.9 million ... something that no company (apart from Sony maybe) could ignore.

Now, it seems that the GTA developer is considering selling the company.

A group of prominent Take-Two investors owning 46% of the company's shares, including OppenheimerFunds, D.E. Shaw Valence Portfolios, S.A.C. Capital Management and Tudor Investment, are looking to remove current CEO Paul Eibeler and bring about changes within the company's board of directors.

Due to this, Take-Two has announced that it has postponed its annual meeting from March 23rd until March 29th "...to provide additional time to review the proposed actions of the shareholder group and also to evaluate alternative courses of actions that could potentially be presented to the shareholders."

I'm not sure how to react to this. To be honest, I haven't touched a single Take-Two game since the days of Vice City. Hell, we don't even know how the sale (if it comes through) is going to affect the company. I'm just surprised EA isn't trying to buy them out by now. 2K Sports is EA Sports's only real competition. You'd think they'd jump at the opportunity to buy out the competitors.

[Via Gamasutra]