Microsoft has announced its plans to acquire Activision Blizzard. Activision Blizzard is one of the leading companies in game development. In addition, Activision Blizzard is a publisher of interactive entertainment content. The planned acquisition includes franchises of the studios of Activision, Blizzard and King such as "Warcraft", "Diablo", "Overwatch", "Call of Duty" and "Candy Crush". That's what Microsoft wants to cost itself the small sum of about 60 billion euros.
Advertising
With three billion people actively playing games today and a new generation excited about interactive entertainment, the gaming segment is currently the largest and fastest growing form of entertainment. As a result, Microsoft Corp. has announced its plans to acquire Activision Blizzard Inc, a leader in game development and publisher of interactive entertainment content.
This acquisition is expected to accelerate the growth of Microsoft's games business in mobile, PC, console and cloud, and provide building blocks for the Metaverse. Microsoft will acquire Activision Blizzard for $95.00 per share, which is valued at $68.7 billion (approximately 60 billion euros), and also includes Activision Blizzard's net cash. When the deal closes, Microsoft will become the world's third-largest game company by revenue, behind Tencent and Sony.
The proposed acquisition includes franchises from Activision, Blizzard and King studios such as "Warcraft," "Diablo," "Overwatch," "Call of Duty" and "Candy Crush," as well as global eSports operations through Major League Gaming. The company has studios around the world and employs nearly 10,000 people.
The acquisition is also expected to bolster Microsoft's Game Pass portfolio with plans to add games from Activision Blizzard to Game Pass, which has reached a new milestone of more than 25 million subscribers. With nearly 400 million monthly active players in 190 countries and Activision Blizzard's three billion-dollar franchises, this acquisition will make Game Pass one of the most attractive and diverse game content offerings in the industry, Microsoft hopes. Upon completion of the transaction, Microsoft will have 30 internal game development studios, as well as additional publishing and Esports production capabilities.
The transaction is subject to customary closing conditions and the completion of regulatory review and Activision Blizzard shareholder approval. The transaction is expected to close in fiscal 2023 and will be accretive to non-GAAP earnings per share upon closing, Microsoft said. The transaction has been approved by the boards of directors of Microsoft and Activision Blizzard.
Advertising
