Feds Approve GameStop, Electronics Boutique Merger
Grapevine, Texas, The Securities and Exchange Commission (SEC) approved the proposed $1.4 billion merger of video-game retailers GameStop Corp. and Electronics Boutique Holdings Corp. The two companies will seek shareholder approval of the merger on Oct. 6.
The merger would give the combined company more than 3,200 stores in the United States and 600 internationally.
ShopKo Takeover Faces Still Opposition
New York City, The $1 billion takeover of ShopKo Stores Inc. by buyout firm Goldner Hawn Johnson & Morrison may be in jeopardy after proxy adviser Institutional Shareholder Services (ISS) recommended that stockholders vote against the proposed leveraged buyout.
The ISS recommendation follows similar calls by activist hedge fund investor John Levin, which owns 6% of ShopKo, and a group of other shareholders who have filed lawsuits against the company claming the $24 a share that Goldner Hawn has agreed to pay is too low.
Shareholders are scheduled to vote on the buyout on Sept. 14.
Electronics Boutique-GameStop Merger OKd
West Chester, Pa., Electronic retailers Electronics Boutique Holdings Corp., with 2,280 stores, and GameStop Corp., with 1980 stores, have announced that their proposed merger has been approved by federal regulators. Shareholders of both companies still have to cast their votes in the matter.
Combining the two companies will create a worldwide retailer with more than 4,000 locations.
Electronics Boutique trades primarily under the EB Games banner.