ATVI Will Intervene in MSFT’s Appeal against UK Regulator
Market News

ATVI Will Intervene in MSFT’s Appeal against UK Regulator

‘Call of Duty’ video gaming developer, Activision Blizzard (NASDAQ: ATVI) has been permitted to intervene in Microsoft’s (MSFT) legal battle with UK’s anti-trust regulator, the Competition and Markets Authority’s (CMA) over its decision to block the deal.

Earlier this year, UK’s regulator blocked MSFT’s $69 billion takeover of Activision Blizzard raising its concerns over cloud gaming. The CMA noted that Microsoft currently holds between 60% and 70% of the cloud gaming market by itself. 

The CMA’s decision had caused a furor in the tech industry and had raised questions over whether the UK still welcomed tech firms, especially since the European Union regulator had approved the takeover. However, the U.S. Federal Trade Commission has also blocked the deal and MSFT is appealing this decision.

Microsoft decided to appeal against CMA’s decision and with Activision being allowed to intervene, the company will be able to make its case to the tribunal.

Jeffries analyst Brent Thill, while reiterating a Buy rating on MSFT stock sees “a more than a zero chance an appeal and approval happen” when it comes to MSFT’s takeover of ATVI. However, the analyst added that if the deal is not closed, it is likely that ATVI would go for a stock buyback “somewhere in the $4B range.”

Overall, analysts are bullish about MSFT stock with a Strong Buy consensus rating based on 30 Buys, four Holds, and one Sell.

Tired of arriving late to the Big Returns Party?​
Most investors don’t have major gainers like TSLA or NVDA on their radar from the start.
The profusion of opinions on social media and financial blogs makes it impossible to distinguish between real growth potential and pure hype.
​​For the past decade, we have developed and perfected technology designed to help private investors, just like you, find the best opportunities, with the greatest upside potential, in any financial climate.​
Learn More

Trending

Name
Price
Price Change
S&P 500
Dow Jones
Nasdaq 100

Trending

Name
Price
Price Change
S&P 500
Dow Jones
Nasdaq 100
RUT
Russell 2000
TNX
10-Yr-Bond
Bitcoin

Popular Articles