Take-Two Interactive Software has closed a deal which will provide it with the option to borrow up to $140 million over the next five years. The deal also allows the company to borrow up to $25 million for use in the UK, where the loan is worth around £12.1 million. The money, which comes from lenders such as Citigroup and Wells Fargo Foothill, will be used to fund working capital, capital expenditures, and other general corporate purposes.
Take-Two has been on a bit of a roller coaster ride over the past year or so, with the highly anticipated Grand Theft Auto IV slipping from October to next year and Manhunt 2 being banned in the UK, where an appeal is pending. An edited version of the game was then given an M for Mature rating in the US, but several senators has since petitioned to have the rating revoked. The release of BioShock has helped buoy the finances of the company, however, and it recently settled the "Hot Coffee" suits.
Ben Feder, chief executive officer of Take-Two, commented, "We look forward to further strengthening our financial position with the release of our solid 2008 product slate, including Grand Theft Auto IV in our fiscal 2008 second quarter."