Games companies Microprose Inc and GT Interactive Software Corp have agreed to disagree, and the two have shelved their proposed merger originally announced in October (CI No 3,262). According to the companies’ CEOs, the time simply isn’t right. Microprose has estimated that the aborted merger will cost it dear in terms of lost revenues, predicting third quarter losses to December of $10m. The two haven’t fallen completely out of bed though, and GT will continue to distribute Microprose’s software. Microprose, whose shares were trading at $7 on the original announcement, saw its stock halve in value on the news to just $2.31. With some valuable games titles in its portfolio such as the Civilization series and Worms2, such a tiny price tag is sure to attract interest. Microprose made losses of $1.8m in its last quarter while GT produced profits of $8.5m.
