Microsoft (NASDAQ:MSFT) is aiming to close its mammoth $68.7 billion acquisition of Activision Blizzard as soon as next week, according to The Verge.
Reportedly, the tech giant is considering October 13 as the closing date. However, the closure still hinges on a go-ahead from the UK’s Competition and Markets Authority (CMA). The regulator had blocked the transaction earlier this year.
The CMA’s process to seek opinions on whether the deal should go through ends today and a final verdict is anticipated next week. Microsoft has been steadily gaining regulatory approvals for the deal in major markets over the past 20 months.
In the U.S., while the FTC sought to block the deal, it failed to secure a preliminary injunction. A decision on the FTC’s appeal is expected in December. Microsoft has made major concessions to ensure the deal closes, including transferring cloud gaming rights for Activision’s games to Ubisoft.
The acquisition has already bagged preliminary approval from the CMA. In another development, Ofcom, the communications regulator in the UK, has asked the CMA to look into the market dominance of major tech companies in the country’s cloud market. While Microsoft has disagreed with Ofcom’s findings, it is willing to work with the CMA.
What is the Target Price for MSFT?
Overall, the Street has a consensus price target of $397.19 for Microsoft, along with a Strong Buy consensus rating. This implies 23.4% potential upside in the stock.
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