Electronic Arts Jumps the Most in Six Months on Takeover Talk
Electronic Arts Inc. (EA), the second- largest U.S. video-game publisher, rose the most in more than six months after the New York Post reported that the company is exploring a sale.
EA rose 7.1 percent to $14.02 at 9:44 a.m. in New York. The stock climbed as high as $14.32 earlier in today’s session, marking the biggest intraday gain since Feb. 2.
The company is interested in doing a deal at $20 a share and has been approached by private-equity firms, the Post reported, citing unnamed people familiar with the discussions. The talks are still in early stages, the newspaper said.
EA shares had slumped 36 percent this year through yesterday as it struggled to shift to Internet-based video games. Chief Executive Officer John Riccitiello is adding online titles to reduce the company’s reliance on declining sales through retail stores.
To contact the reporter on this story: Nick Turner in New York at email@example.com
To contact the editor responsible for this story: Nick Turner at firstname.lastname@example.org
Bloomberg moderates all comments. Comments that are abusive or off-topic will not be posted to the site. Excessively long comments may be moderated as well. Bloomberg cannot facilitate requests to remove comments or explain individual moderation decisions.