So far, Take-Two's management hasn't said it wants to keep the company independent but rather that it would like to evaluate its options once Grand Theft Auto IV releases -- a game it has pinned high hopes on.
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By then it may be too late and EA could lose interest, warns Bhatia. "Beyond GTA IV, Take-Two's visibility goes down quite a bit."
If Take-Two's management continues to reject EA's bid, EA has another alternative, points out Michael Pachter, an analyst for Wedbush Morgan. "If the deal remains hostile, I think that EA can withdraw their bid, nominate a slate of directors, and buy stock on the open market."Either way, Take-Two's shareholders are likely to emerge the winner because Take-Two's share price is likely to go higher.