Microsoft has announced to acquire one of the gaming giant, named Activision Blizzard, for $95.00/share with an all-cash deal valued at $68.7 billion. Microsoft says that Bobby Kotick will remain the CEO of Activision Blizzard and that the transaction is expected to close in the fiscal year of 2023.
The transaction already has been approved by the board of both companies.
“For more than 30 years our incredibly talented teams have created some of the most successful games,” said Bobby Kotick, CEO, Activision Blizzard. He added:
“The combination of Activision Blizzard’s world-class talent and extraordinary franchises with Microsoft’s technology, distribution, access to talent, ambitious vision and shared commitment to gaming and inclusion will help ensure our continued success in an increasingly competitive industry.”
The deal will provide Microsoft access to blockbuster games like ‘Call of Duty’ and ‘Candy Crush’, and is the biggest ever to broaden its gaming portfolio. When the deal is finalised, it is expected to make Microsoft the third biggest gaming company with a reach beyond the living room with franchises including World of Warcraft, Diablo and Hearthstone.
This acquisition is the latest move in Microsoft’s strategy to become a one-stop-shop for games and entertainment. It also follows its purchase of Minecraft and Supercell, the maker of ‘Clash of Clans’ and ‘Clash Royale’, among others.
On January 18, 2022, when Microsoft announced to buy Activision Blizzard, Activision was up by 36.7% and Microsoft was down 1.27%.