Gaucho420

M&A Lessons from 2008: Take the Money and Run

I think this column is invalid, as is the analysis, as well...were in a very severe recession, perhaps heading towards a depression.

Everyone has 20-20 hindisght and had any of these companies had the foresight to see the financial system collapse, they would've accepted their bids.

However, 1) all assummed the economy would not fall off a cliff and 2) all priced their takeover target price per a regular economy.

Its easy to say take the money and run in hindisght in a depressed economy, as no matter what your individual story as a company or sector, when the tide lowers, all boat sink.

So while its great to say you should've taken the money and ran, the bottom line is one sector (finance) has caused every other sector to collapse as it is the lifeblood of the economy.

In TTWO case (I'm a shareholder who cashed out near $27, but thought it should be worth much, much more and still do based on potential), how could they see a collapse of the economy coming? I wish for them they had...but again, hindsight's 20-20 and what happend to it and EA's stock is really more reflective of the fear of a depression that is palable and everywhere in equities.

A little more research next time...its easy to say you should've taken the money following an economic collapse as that is always the answer and will always be the answer in hindsight under this scenario that over-shadows all scenarios, but it is not at all reflective of any of these mergers individual stories at the time they said NO.

Weak analysis.