Later, Carl! Take-Two (TTWO) Buying Back Icahn Stake

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Icahn_106352500On Tuesday, video game developer Take-Two Interactive (TTWO) said that it would acquire all of its shares held by an activist investor.

In late 2009, Carl Icahn purchased about 9 million shares in the company. In the years since, he has added more Take-Two Interactive shares, boosting his TTWO holdings to about 12 million shares — a 12% stake in the company. TTWO says it will pay Icahn $16.93 a share, about $200 million, for his stake, CNN notes.

TTWO shares currently trade for just over $16 a share.

The buyback will lead to three Icahn-backed members of TTWO’s board to step down. Icahn will receive roughly double his 2009 investment in the company.

Last month, Take-Two shattered sales records for the launch of the latest installment of its popular Grand Theft Auto video game franchise.

Icahn has recently taken a stake in technology giant Apple (AAPL) and is pressuring the iPad-maker to increase the size of its planned share repurchase program.

Shares of TTWO climbed modestly in Wednesday morning trading.


Article printed from InvestorPlace Media, https://investorplace.com/2013/11/later-carl-take-two-ttwo-buying-back-icahn-stake/.

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