NEWS

SCi Rejected Infogrames Offer

Edge Staff's picture

By Edge Staff

April 28, 2008

Acquisition target SCi recently rejected an offer by Lyon, France-based Infogrames.

Infogrames said Monday that it had made a "detailed, indicative" offer for Tomb Raider house SCi, but the board rejected the undisclosed offer "at this time," Infogrames said Monday.

Over recent years, a number of suitors have been rumored to have interest in merging with or acquiring SCi at some point in time, including NBC Universal and Ubisoft.

Last week, SCi received a cash boost from Warner Bros., which said it would subscribe for up to £15 million shares in UK-based SCi. Property tycoon Robert Tchenguiz also recently made a £60 million investment in SCi.

Earlier this year, top SCi management stepped down after shares dropped 52 percent to a five-year low. The firm made major job cuts and cancelled key projects.

SCi recently said that it would need about £50 million to stay in business, and has been entertaining offers from interested parties.

Infogrames said that it believed its proposal for SCi was "financially disciplined" and worked in favor of investors for both companies.

Infogrames added, "Whilst Infogrames has been considering a range of options, including but not limited to a potential merger with SCi, there can be no certainty that any offer will be made for SCi (whether or not the aforementioned conditions are satisfied or waived), or as to the terms on which any such offer may be made."

Infogrames said it would make further related announcements "if and when" appropriate.