MSFT - Why Activision Blizzard Stock Is Surging Today
2023-07-11 13:11:11 ET
A federal judge has given Microsoft (NASDAQ: MSFT) the green light to close its $75 billion acquisition of Activision Blizzard (NASDAQ: ATVI) , over the objections of U.S. regulators. The ruling is sending shares of Activision up as much as 12% on Tuesday on investor anticipation that an end to the long-running saga might finally be in sight.
Microsoft first agreed to acquire Activision in January 2022, offering $95 per share in cash for the video game giant that at the time was engulfed in workplace misconduct allegations. The deal would expand Microsoft's already sizable video game operation , combining its Xbox console business with games including Call of Duty , World of Warcraft , and Candy Crush.
But the deal quickly came under scrutiny of regulators, and the U.S. Federal Trade Commission (FTC) had sought an injunction to prevent the two companies from closing the deal before the FTC had a chance to challenge it.
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Why Activision Blizzard Stock Is Surging Today