EA takes out $1 billion loan for Take-Two acquisition

Electronic Arts has received commitments for a $1 billion loan from various financial institutions toward its acquisition of Take-Two. The company has up until January 9, 2009 to tap the funds in its $2 billion hostile takeover and there's been no update on the deal since Take-Two's last rejection.

GamePolitics spoke with Wedbush Morgan analyst Michael Pachter who says that after the Pandemic/BioWare acquisition that EA is a little strapped for cash. He believes the timing of this loan isn't "particularly unusual" and it could be possible that EA might make a higher bid for Take-Two.