microsoft has taken an important step that brings it closer to finalizing the purchase of ActivisionBlizzard for $68.7 billion. The shareholders of the video game studio have massively approved the acquisition by the Redmond firm; Thus, the only thing missing is the approval of the regulators – the most important step, after all – for the deal to close.
According to it was informedthe special meeting of Activision Blizzard shareholders produced an unappealable result in the vote: 98% approved the purchase by Microsoft. In this way, the vast majority of participants favorably leaned towards the proposal of the company led by Satya Nadella, which will pay 95 dollars for each share, in a completely cash transaction.
Bobby Kotick, the current CEO of the company, did not hide his satisfaction at having achieved the approval of the shareholders. “The overwhelming vote of support from our shareholders confirms our shared belief that, combined with Microsoft, we will be even better positioned to create great value for our players, including greater opportunities for our employees, and continue our focus on becoming an inspiring example.” of a welcoming, respectful and inclusive workplace,” he said.
The last part of his statement is nonetheless striking, as Kotick himself has been singled out as a key figure in the Activision Blizzard sexual harassment scandal that came to light last year. The manager has not only been accused of fostering and covering up a toxic work environment, but also of being responsible for inappropriate conduct. Everything suggests that the executive will not continue in his position when Phil Spencer and Microsoft Gaming take control of the company.
As we mentioned at the beginning, the positive vote of the shareholders brings Microsoft closer to finalizing the purchase of Activision Blizzard; however, it is still awaiting final approval from regulators. This is expected to happen during the next fiscal yearwhich ends on June 30, 2023.
The investigation is being carried out by the Federal Trade Commission, which has spent the last few months gathering information about this agreement. The body led by Lina Khan would focus on three fundamental points to define whether to approve or reject the deal: access to public data, the video game developer’s labor market and the possible impact of the transaction between those who reported hostilities in the place of work.
Meanwhile, Microsoft claims that There are no reasons to block the purchase of Activision Blizzard based on anti-competitive arguments. Satya Nadella justified that position by ensuring that the video game market is too fragmented; and he confirmed that even this acquisition will not make Redmond the highest-earning firm in the sector.
Those of Redmond have promised to attend to complaints of sexual harassment
Talks between the parties to analyze a possible acquisition began just a couple of days after the scandal broke out over allegations of sexual harassment at Activision Blizzard. Since then, Microsoft has promised don’t look to the side and give this topic the attention it needs.
“I think if there’s one thing we’ve learned about tackling issues like sexual harassment or pretty much any cultural issue for people, it’s that it really takes a combination of commitment and humility. We look forward to the leadership team at Activision Blizzard making culture and “Making workplace safety a priority every day, until the day this deal closes. And when we take over, we’ll have to make the same commitment,” said Brad Smith, president of Microsoft.
However, there is also controversy over the role that Bobby Kotick still has in the video game firm, and the financial compensation he would receive. As the current CEO of the studio he owns some 4 million shares, would pocket more than 375 million dollars when the purchase is completed; and to that would be added $14.5 million as “golden parachutes,” if he doesn’t voluntarily resign before the deal is complete.