Activision Blizzard shareholders will gather on April 28 to vote for or against the acquisition of the American publisher.
Two weeks before a special investor meeting, SOC Investment Group called on majority and minority shareholders of Activision Blizzard to vote against Microsoft’s proposed $68.7 billion takeover: “This deal does not properly assess Activision Blizzard and its future revenue potential, not least because it ignores the role that the sexual harassment crisis and the mismanagement of Activision Blizzard’s board of directors have played in delaying product launches and depressing stock prices. We are skeptical about the viability of a deal with Microsoft (or a similar acquirer) given the changing antitrust climate and the obvious sources of potential competitive damage from this consolidation. ”
For SOC Investment Group, investors first need to elect a capable and dedicated new board of directors at the upcoming annual meeting, while getting rid of CEO Bobby Kotick, chairman of the board of directors Brian Kelly and chief independent Robert Morgado: “We do not believe that Activision shareholders should look to the deal to recover the value lost due to Activision’s management’s failure to ensure a safe and fair workplace, as well as the failure of the Board of Directors to respond constructively to the emerging crisis. But we also see that since at least last July, Activision employees have courageously demanded that harassment and retaliation stop at the company.
Potential cancellation of Activision Blizzard takeover not to be taken lightly
Microsoft said it hopes to close the deal in the first half of 2023, subject to compliance with closing conditions and completion of regulatory review. The Federal Trade Commission (FTC) is currently conducting an antitrust review to determine whether the takeover would give the American video game giant an unfair competitive advantage. Finally, four U.S. senators recently wrote to the FTC expressing concern over Activision Blizzard’s takeover, which they say has already hampered organizational efforts and “threatens employee liability claims”over allegations of sexual harassment and discrimination..