Confirming the rumours, SCi Entertainment said, "Following the recent speculation in the press, the board of SCi Entertainment confirms that is has received an approach and as a result has entered into extremely preliminary discussions regarding a possible offer for the company."
Making it clear that nothing is on the table yet, SCi Entertainment also stated, "No proposal has been received at this time, however, and there can be no certainty that any offer for the company will be made or as to the terms of any such offer were one to be made."
SCi Entertainment's share price climbed by over 10% following the announcement, a small recovery in the face of share price losses incurred last month due to poor financial results. Poor PlayStation 3 performance apparently forced SCi Entertainment to offer significant price protection to retailers, creating more exposure than expected. Suffering from what appears to be common problem with many publishers, SCi Entertainment also confirmed in the same financial statement that development for the Wii and DS was increasing, and that it had "put into production further products for these platforms which will be launched in 2008 and 2009."
This takeover approach represents the latest in a series of talks spanning back over a year. Early last year, SCi Entertainment confirmed that talks had occurred with various companies about the potential for a takeover. While no companies were specifically named, it was commonly believe that Midway and Vivendi games were two of the companies involved in the discussions. Time Warner was later also rumoured to be interested in later discussions, but no actions were finally taken.
Loading...
