Take-Two Acquires Zynga in $12.7 Billion Deal

Take-Two Interactive, the company behind popular video game titles such as Grand Theft Auto V, Red Dead Redemption, and NBA 2K22, has acquired Zynga, the developer of FarmVille and Words With Friends, for $12.7 billion. This acquisition is one of the larger business purchases seen this year.

Under the terms of the deal, Zynga shareholders will receive $3.50 in cash and $6.36 in Take-Two stock for each share of Zynga they own. The deal is expected to close in the first quarter of 2023. Zynga CEO Frank Gibeau will oversee the integration of the two companies, with Zynga operating as its own brand within the Take-Two franchise.

Take-Two CEO Strauss Zelnick highlighted the strategic benefits of the acquisition, stating that it will help grow their collection of owned intellectual property. Zelnick also mentioned that Take-Two plans to leverage Zynga's mobile gaming expertise to bring their titles to mobile platforms, potentially creating highly lucrative mobile games.