Take 2 Shareholders, Overthrow Board
It's pretty simple: to get right, Take Two needs to trim the fat. The game publisher holding company has a couple of flagging units, most notably Joytech and Global Star Software, that haven't added any value recently. The board may also consider dumping the moderately successful 2K Games and the more-successful 2K Sports to focus on Rockstar, maker of the "Grand Theft Auto" series.
The shareholder coup came from four primary institutional shareholders -- mutual-fund firm Oppenheimer Funds, D.E. Shaw Portfolios LLC, Tudor Investment Group and the hedge fund S.A.C Capital-not known for activist investing. At a meeting earlier this week, Zelnick confirmed that the new board has no plans to sell the company. There's no vision for an exit," he said, adding that the "creative talent will remain in place."