SOLD! EIDOS ACCEPTS
ELEVATION OFFER
Copyright 2005 www.tombraiderchronicles.com
[ March 23rd 2005 ]
London
publisher Eidos has announced it has accepted
an all-cash offer from Elevation Partners - a
private equity group helmed by U2 singer Bono
and former Electronic Arts president John Riccitiello
- to the tune of GBP 71.0 million, thus rejecting
a second all-share offer from SCi Entertainment
Group which valued the company at GBP 76.1 million.
In a
statement released a few moments ago, Eidos said:
"The Directors of EM Holding and Eidos announce
that they have reached agreement on the terms
of a recommended cash offer of 50 pence (approximately
$0.96) for each Eidos Share and each Eidos ADS
(each Eidos ADS representing 1 Eidos Share) for
the whole of the issued and to be issued share
capital of Eidos (the “Offer”). This values the
whole of the issued share capital of Eidos at
approximately £71.0 million (approximately $136.3
million). "
"The
Directors of Eidos, who have been so advised by
UBS Investment Bank, financial adviser to Eidos,
consider the terms of the Offer to be fair and
reasonable and unanimously recommend that Eidos
Shareholders and holders of Eidos ADSs vote in
favour of the resolutions to be proposed at the
Court Meeting, as they have irrevocably undertaken
to do with respect to their own beneficial holdings
of Eidos Shares. In providing advice to the Directors
of Eidos, UBS Investment Bank has taken into account
the commercial assessments of the Directors of
Eidos."
Elevation
Partners describes itself as a newly formed private
equity firm that makes large-scale investments
in market-leading media, entertainment, and consumer-related
businesses. Elevation's focus is on intellectual
property businesses where it can partner with
management to enhance growth and profitability
through a combination of strategic capital and
operational insight. Elevation
Partners
include: Fred Anderson (former EVP and CFO of
Apple Computers), Marc Bodnick (founder of Silver
Lake Partners), Roger McNamee (founder of Silver
Lake Partners and Integral Capital Partners),
Bret Pearlman (former Senior Managing Director
of The Blackstone Group), John Riccitiello (former
President and COO of Electronic Arts) and Bono
(lead singer and co-founder of U2).
The decision
to accept the offer from Elevation Partners brings
to an end months of speculation on the future
of Eidos, its employees and shareholders.
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