Microsoft Faces a Race Against Time as Activision Blizzard Takeover Meets Major Obstacle

Activision Blizzard is one of the famous video game publishers in the community. It is mainly popular for producing games such as Call of Duty, Guitar Hero, Tony Hawk’s, Skylanders, Hearthstone, Overwatch, Candy Crush Saga, and others. Indeed, the $68.7 billion deal between Microsoft and Activision has taken the entire internet by storm.

Several PlayStation users were wondering what would happen to all the Call of Duty titles on the platform. However, Phil Spencer’s decision of letting Call of Duty titles stay with PlayStation earned him a lot of console users’ respect. Interestingly, Activision recently announced that it will let Activision Blizzard shareholders vote on approving Microsoft’s acquisition on April 28, 2022.

It further mentioned if the acquisition doesn’t happen, there will be a significant loss to the company’s stock price. Continue reading to find out more about the new merger acquisition proposal from Activision Blizzard.

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Activision Blizzard will let its shareholders vote on approving Microsoft’s acquisition

BBC reported that when the acquisition is completed, Microsoft will move above Nintendo to third place by revenue behind Tencent and Sony among video game makers. Thus, Microsoft is planning to gain huge profit through the $68.7 billion deal and Xbox will become one of the world’s largest video game companies.

In a recent document, Activision requested all its shareholders to vote on April 28, 2022, in favor of the acquisition. It mentioned that if the acquisition doesn’t take place, the Activision Blizzard common stock will decline significantly.

“Your vote is very important to us. The merger contemplated by the merger agreement is conditioned on the receipt of, and we cannot consummate the merger unless the merger proposal receives, the affirmative vote of the holders of a majority of the shares of Activision Blizzard’s common stock, par value $0.000001, which we refer to as “Activision Blizzard common stock,” outstanding and entitled to vote thereon,” the document read.

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In addition to that, Activision further mentioned that in select circumstances, it might have to pay a termination fee of roughly around $2 billion. Do you think Microsoft’s deal might backfire on Activision Blizzard? Let us know in the comments down below.