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Less Competition for the Game [Fool.com: Motley Fool Take] April 18, 2005

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Less Competition for the Game [Fool.com: Motley Fool Take] April 18, 2005
Topic: Miscellaneous 1:49 pm EDT, Apr 18, 2005

GameStop buys Electronics Boutique.

] In retrospect, we all should have seen this coming. I
] mean, given this year's rash of mergers and buyouts, how
] long would it take for someone to try and snap up
] fast-growing, profitable game retailer Electronics
] Boutique (Nasdaq: ELBO)?
]
] Although the merger makes all kinds of sense if the
] promised synergies work out, it's also an example of one
] of those little Wall Street ironies, where a fish
] dislocates its jaw to swallow an even bigger fish:
] Electronics Boutique has more stores, higher sales, and
] an established international presence, and it's been
] expanding the top line more quickly over the past months
] to boot.

And so for the day we have Adobe buying Macromedia and GameStop buying EB. What other obvious arts and entertainment technology companies are on the near horizon? Nintendo and someone?

Less Competition for the Game [Fool.com: Motley Fool Take] April 18, 2005



 
 
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