It's not like Nintendo had a choice. That all or nothing deal from the Stampers ruined whatever chance of Rare sticking with Nintendo.
pretty much. as far as i remember since their DKC partnership, every couple of intervals nintendo would buy more & more shares in Rare.
This happened throughout the life-cycles of both the snes & n64 generations, and by the time the latter was finishing up, they had an eventual 49% stake in the company.
Nintendo were very happy to continue buying more & more shares in Rare over time as they had done previously, and had the stampers not wanted to sell their 51% stake, who knows how much of the Rare pie Nintendo would own today.
the problem was that the stampers wanted to sell their share and retire, so they went to nintendo, as by contract, nintendo had 'first right' to buying.
Unfortunately Nintendo was unwilling to spend such a large sum all at once -and as a result the stampers had no choice but to shop their stake in Rare around to interested buyers.
it eventually came down to two companies: activision & microsoft. and we know the rest.