Yahoo Finance Activision stock rises as Microsoft says it will fight for deal
Yahoo Finance Live anchors discuss Microsoft's commitment to stick to its acquisition of Activision Blizzard.
Video transcript
- And let's talk about Activision Blizzard too. It's in focus on reports that Microsoft is prepared to fight any attempts to block its $69 billion acquisition of the company if the US federal Trade Commission does indeed decide to file any lawsuits against the partnership. This reporting according to Bloomberg. So interesting here because Microsoft hasn't always done this. Sometimes, the Feds come after its deals and says, OK, we're not going to do it. But this reporting says they're going to step up and try and make sure it happens.
- It's good to see them fighting for this deal. It's a key transaction for Microsoft. I think a lot of folks on the Street would like to see this deal get done. And, look, Activision is a leading player in this industry. And Microsoft is the leading player with Xbox. Makes sense.
- It's also the number of jurisdictions that they have to get this deal approved within. They've had to get it greenlit and approved-- greenlit and approved in Brazil. The European Commission was where some of their biggest hang ups. We had heard in a note from Bobby Kotick at the beginning of last month in a letter to employees that they were getting into the second phase of their review in that region. And it's really kind of bundled with where there still would be a competitive market, how that would ultimately-- still even if this transaction continues to move forward and go through, that the consumer would not be impacted on the other end of this as well.
- Yeah. The FTC is apparently getting to the later stages, as you said, of its investigation and its examination of this. And so we could find out soon whether indeed they're going to end up filing a lawsuit. Microsoft had said they planned to close the acquisition by June 30. So there is still ample time in between now and then for the government to come in and say they don't want it to happen.
- Yeah. All right. Huge, huge deal. We'll see if it ultimately gets through or continues to move forward, as right now, looks decent.
