ATVI - Microsoft president to hold talks with UK Chancellor over Activision deal block - report

2023-06-02 16:03:15 ET

Microsoft ( NASDAQ: MSFT ) President Brad Smith is set to meet with UK Chancelllor Jeremy Hunt next week to discuss his concern about the UK antitrust regulator's decision to block the $69 billion purchase of Activision ( NASDAQ: ATVI ).

Smith is scheduled to hold discussions with Hunt as well as officials from the Competition and Markets Authority, according to a Bloomberg report , which cited people familiar with the matter.

The CMA sued in late April month to block the deal , citing concerns about cloud gaming. The U.S. Federal Trade Commission als o sued to block the $95 per share deal for Activision in December , with a trial scheduled to start in August.

News of the meetings next week comes after a report on Thursday that Microsoft ( MSFT ) is evaluating ways to close its Activision ( ATVI ) deal despite the block from the UK's antitrust authority. Microsoft could look to pull out of the UK market or it could close the purchase and fight the UK's CMA in court, according to an MLex report.

A UK judge held a hearing on Tuesday and set a trial for Microsoft's appeal of the UK decision for July 24 , well before the CMA's request for a date in late-September or October. The hearing falls after the July 18 termination date for the mega videogame deal, where the parties can walk, extend, or renegotiate the deal.

Activision CEO Bobby Kotick said in late April that the UK antitrust regulator 's decision to block the videogame giant's sale to Microsoft ( MSFT ) was a "flawed ruling in every respect."

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