Take-Two Increases Credit Facility To $140m

Officials from publisher and developer Take-Two Interactive, owner of Rockstar Games, have announced that the company has closed on an expanded five-year, senior secured revolving credit facility of up to $140 million. The company previously enjoyed a $100 million line of credit from Wells Fargo Foothill. The $40 million expansion, from Wells Fargo Foothill and Citigroup, also allows for borrowings of up to $25 million in the UK – where Grand Theft Auto IV developer Rockstar North is based. The credit facility will be used to fund working capital, capital expenditures and for other “general corporate purposes”. It is secured primarily by the company’s U.S. and UK assets and comes at a higher interest rate than the previous $100 million line. "Our credit facility will support our periodic working capital needs during the busy holiday season and beyond," said Ben Feder, CEO of Take-Two. "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."