Reports in Poland today suggest that Witcher developer CD Projekt RED could soon be preparing itself against a possible takeover.
The studio best known for its brilliant and critically acclaimed Witcher series have called a general meeting of shareholders set to be held on November 29th, where the company will discuss many key issues including a vote on whether or not to allow the company to purchase back part of its own shares for 250 million PLN in addition to votes on whether to merge CD Projekt Brands (Witcher/Cyberpunk) and also a change of the company’s statute.
NeoGaf user boskee clarified the importance of the first and third key issues regarding the possibility of a takeover: “The proposed change will put restrictions on the voting ability of shareholders who exceed 20% of the ownership in the company. It will only be lifted if said shareholder makes a call to buy all of the remaining shares for a set price and exceeds 50% of the total vote“.
CD Projekt RED would undoubtedly be strongly opposed to another company i.e Bandai Namco or Electronic Arts taking control and would most likely look to protect themselves by rebuying the shares.
“It seems that the proposed changes in the Articles of Association arising from the desire to protect themselves against hostile takeovers and loss of control over the company,” said Michal Skiba, an analyst for Ipopema Securities while speaking to Polish publication Rp.
In September of 2015, CD Projekt RED Chief Executive Adam Kicinski strongly denied rumours of a takeover by Electronic Arts claiming, “Usually we don’t comment on rumours, but it’s time to deny the one about takeover because it spread too far. In the name of the board, I would like to state: No, we are not in any talks about the sale of CD PROJEKT RED or GOG. Also, the document verifying the identity/credentials of the source is not real.”
Could a hostile takeover really be on the cards for CD Projekt RED? If so, who?