The actions of Activision Blizzard closed up 10% on Tuesday after a judge denied the Federal Trade Commission’s (FTC) motion for a preliminary injunction preventing Microsoft acquired the video game maker.
The actions of Activision Blizzard reached a 52-week high of $92.91 per share, and this move reflects the biggest gain for the video game publisher since the deal was first announced on January 18, 2022. Shares of Activision Blizzard reached their highest close since July 2021.
Microsoft agreed to buy Activision Blizzard for $68.7 billion, or $95 per share, but the acquisition has faced opposition in the United States and abroad due to concerns that it could hamper competition.
The United States District Court for the Northern District of California issued the decision in favor of the companies on Tuesday.
“For the reasons stated, the Tribunal concludes that the FTC has not demonstrated a probability of success in its claim that this vertical merger in this specific industry would substantially reduce competition,” Judge Jacqueline Scott Corley wrote in her decision.
But the deal is not yet fully secured. The FTC you can now take the decision to the United States Court of Appeals for the Ninth Circuit, and Microsoft and Activision Blizzard they must find a way to resolve the opposition from the UK Markets and Competition Authority.
“We are optimistic that today’s ruling points a path towards full regulatory approval in other parts of the world, and we stand ready to work with UK regulators to address any remaining concerns so that our merger can be closed quickly,” the statement wrote. CEO of Activision BlizzardBobby Kotick, in a memo sent to employees Tuesday.
Via: CNBC
Editor’s note: I told them this was going to happen. Now, surely there are going to be a couple of appeals if they haven’t gotten tired of making drama but Activision is going to end up in the hands of Microsoft and then we’ll see if the Redmond guys spoil what little good the developer has left, if PlayStation keep crying and if people really change their PlayStations to go to Xbox… which is not going to happen because they are already different types of gamers.
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