(Alliance News) - US video game publisher Take-Two Interactive Software Inc on Wednesday allowed its GBP726 million offer for UK video game developer Codemasters Group Holdings PLC to lapse.
This was due to the Codemasters shareholder meeting for voting on the offer not taking place on or before Tuesday, a date that Take-Two had not extended.
In mid-December, Codemasters had accepted a rival takeover bid from Take-Two's larger US rival Electronic Arts Inc for GBP945 million, or 604 pence per share in cash.
In doing so, the company had shunned Take-Two's offer made in November, which was for 120p per share in cash and 365p in Take-Two shares, which valued Codemasters at 485p per share.
"Take-Two remains a highly disciplined organization and, with its strong balance sheet, will continue to pursue selectively organic and inorganic opportunities that are designed to enhance the Take-Two's long-term growth and deliver results to its shareholders," Take-Two said.
Shares in Take-Two Interactive closed 3.6% lower at USD199.15 on Tuesday in New York, remaining the same in premarket trade Wednesday. Electronic Arts lost 1.5% on Nasdaq on Tuesday, marginally lower in pre-market trade Wednesday.
Codemasters shares were down 7.1% at 600.00 pence in London.
By Dayo Laniyan; dayolaniyan@alliancenews.com
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