Oh boy.
Take Two has successfully completed a merger with mobile developer Zynga. The deal formally went through last Thursday, when both companies approved the deal, and Zynga shares stopped trading on Friday. On Monday, Zynga shareholders were given $3.50 and 0.0406 Take-Two shares for every share they held for Zynga, totaling up to a massive $12.7 billion deal.
The move might not be obvious to the uninvolved. After all, Take Two draws more prestige from things like Grand Theft Auto, Bioshock, Borderlands, Civilization, and more, in addition to their sports titles. The one thing they’re not known for is what Zynga’s good at: mobile games that draw in loads of microtransaction cash. Games like Farmville and Words with Friends. Naturally, Take-Two chairman and CEO Strauss Zelnick is extremely pleased that the deal has gone through.
We are extremely pleased with the results from our Special Meeting earlier today and I’d like to thank our stockholders for their support as we embark on this exciting new chapter for our business. We believe that our combination with Zynga will be transformative for our company as we create a powerful and diverse portfolio of industry-leading titles, while also becoming a leader in mobile games. As we deliver on our vision and unlock cost synergies and revenue opportunities together, we believe that we can achieve significant growth and create long-term stockholder value.
Strauss Zelnick
Zynga CEO Frank Gibeau was similarly happy:
I thank our stockholders for their support of this transaction, which will create an unparalleled portfolio that reaches massive audiences across key platforms, genres, and territories. We are excited to be one step closer to combining Zynga’s free-to-play expertise and next-generation mobile platform with Take-Two’s best-in-class capabilities and renowned intellectual properties. We look forward to what our team can accomplish with Take-Two.
Frank Gibeau, Zynga CEO
This massive deal literally takes Take Two from the lower rungs of mobile gaming and places them at the top, much like with their PC/console placement. And at $12.7 billion, it’s currently the larges merger on the books. Or at least, it is until the massive $68.7 billion acquisition of Activision Blizzard by Microsoft goes through. That one’s a bit more complicated.
Source: PC Gamer
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