REDWOOD CITY, Calif.--(BUSINESS WIRE)--
Electronic Arts Inc. (NASDAQ: EA) received notice of an unsolicited
mini-tender offer by TRC Capital Corporation ("TRC Capital") to purchase
up to 2 million shares of EA's common stock at a price of $44.75 per
share in cash. The offering price is approximately 4.4 percent below
the closing price per share of EA common stock on January 7, 2015, the
last trading day before the mini-tender offer was commenced. The offer
is for approximately 0.64 percent of the outstanding shares of EA's
common stock.
EA does not endorse TRC Capital's offer and recommends that shareholders reject
the offer because the offer price is below the current market price for
EA shares and is subject to numerous conditions, including TRC Capital
obtaining sufficient financing necessary to consummate the offer. EA
also recommends that any shareholders who have tendered shares to TRC
Capital withdraw those shares by providing the written notice described
in the offering documentation before the expiration of the offer, which
is currently scheduled for 12:01 a.m. Eastern Time on February 6, 2015.
EA is not associated with TRC Capital, its mini-tender offer or the
mini-tender offer documentation. EA urges investors to obtain current
market quotations for their shares, consult with their broker or
financial advisor and exercise caution with respect to TRC Capital's
offer.
TRC Capital has made similar unsolicited mini-tender offers for shares
of other public companies. Mini-tender offers are designed to seek less
than five percent of a company's outstanding shares, thereby avoiding
many investor protections, including the disclosure and procedural
requirements applicable to most bids under United States securities laws.
The U.S. Securities and Exchange Commission (SEC) has cautioned
investors about mini-tender offers, noting that "some bidders make
mini-tender offers at below-market prices, hoping that they will catch
investors off guard if the investors do not compare the offer price to
the current market price." The SEC also published investor tips
regarding these offers on its website at: http://www.sec.gov/investor/pubs/minitend.htm.
EA encourages brokers and dealers, as well as other market participants,
to review the SEC's letter regarding broker-dealer mini-tender offer
dissemination and disclosures on the SEC's website at: http://www.sec.gov/divisions/marketreg/minitenders/sia072401.htm.
EA requests that a copy of this news release be included with all
distributions of materials relating to TRC Capital's mini-tender offer
related to EA shares of common stock.
About EA
Electronic Arts (NASDAQ:EA) is a global leader in digital interactive
entertainment. The Company delivers games, content and online services
for Internet-connected consoles, personal computers, mobile phones and
tablets. EA has more than 300 million registered players around the
world.
In fiscal year 2014, EA posted GAAP net revenue of $3.6 billion.
Headquartered in Redwood City, California, EA is recognized for a
portfolio of critically acclaimed, high-quality blockbuster brands such
as The Sims™, Madden NFL, EA SPORTS™ FIFA, Battlefield™, Dragon AgeTM
and Plants vs. ZombiesTM. More information about EA is
available at www.ea.com/news.
EA SPORTS, The Sims, Dragon Age, Plants vs. Zombies and Battlefield are
trademarks of Electronic Arts Inc. and its subsidiaries. John Madden,
NFL and FIFA are the property of their respective owners and used with
permission.
Electronic Arts Inc.
Chris Evenden, 650-628-0255
VP, Investor
Relations
cevenden@ea.com
or
John
Reseburg, 650-628-3601
Senior Director, Corporate Communications
jreseburg@ea.com
Source: Electronic Arts Inc.
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