GMBStaff
11 Oct 23
<p>Activision's stock price rose slightly after news broke that its proposed $69 billion sale to Microsoft is likely to avoid a European regulatory review. This suggests that the deal is progressing smoothly and may face fewer hurdles than expected, reducing the potential for delays and object...
Activision (NASDAQ:ATVI) saw a slight increase in its stock price after reports emerged that its planned $69 billion sale to Microsoft (NASDAQ:MSFT) would avoid a review by European regulators. The news suggests that the deal between the two companies is progressing smoothly and may face fewer regulatory hurdles than initially anticipated.
The potential avoidance of a European review is significant for both Activision and Microsoft. It indicates that the acquisition is less likely to be subject to lengthy delays and potential objections from European authorities. This news comes after the European Commission recently announced its intention to conduct in-depth investigations into several high-profile tech mergers and acquisitions. By avoiding such scrutiny, the Microsoft-Activision deal may be able to move forward more quickly and efficiently.
This development is positive for both companies and their shareholders. The acquisition of Activision by Microsoft has been touted as a strategic move that will strengthen Microsoft's position in the gaming industry and enhance its competitiveness against other major players like Sony and Nintendo. The potential avoidance of a European review adds further momentum to the deal and increases the likelihood of its successful completion.
Overall, the report that the Microsoft-Activision deal will avoid a European review is a significant development that bodes well for both companies. It signals smoother regulatory proceedings and a higher chance of successfully finalizing the acquisition. This news is likely to be received positively by investors and may contribute to further increases in Activision's stock price as the deal progresses.