Poor Bobby Kotick (a phrase I bet no one has ever said)! The saga continues in Activision-Blizzard’s fight for freedom from their overlords, Vivendi. Strangely enough, Vivendi also wants to let them go – but it’s all being held up by a Mr. Douglas M. Hayes.
As Geoff told you earlier this month, Hayes filed a lawsuit to stop the sale/buy back of Activision-Blizzard. He wants to force a shareholder vote on the deal before it goes ahead. A preliminary injunction has been released, barring the $8.2 billion deal. However, there is actually no way to get a shareholder vote through before the agreement is terminated on 15 October. As such, Activision’s lawyers state in their appeal:
The injunction leaves Activision and its stockholders in limbo and at risk of losing an $8 billion deal that will return the company to public control
The court will assess the appeal on 10 October. Vivendi continues to state that the deal is a share buyback, not a sale. As such, no vote is needed. However, the share buyback would result in Vivendi losing their 61 percent stake in (the highly profitable) Activision-Blizzard. Not quite sure why shareholders are upset with a deal that would get them $8.2 billion, though. Is this just greed?
I’m rooting for Acti-Blizz on this one. It’s about time they had their freedom. Maybe they need to be released from the control of their titan overlords before they can pick up work on Titan.
Last Updated: September 25, 2013