Buy Activision Because FTC Has Little Chance Of Blocking Merger


  • Microsoft has already declared it will seek to build a case in court revolving around the acquisition of Activision Blizzard being a vertical merger.
  • There is little legal precedent for blocking vertical mergers, meaning the FTC likely has an uphill task in court.
  • The stock is a great buy at these levels, although going to trial would significantly lower ARR.

The New Call Of Duty Video Game Goes On Sale

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The FTC’s decision to challenge the acquisition of Activision Blizzard Inc. (NASDAQ:ATVI) by Microsoft Corporation (MSFT) was somewhat expected by the market, given the large gap between the agreed price of $95 a

Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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