By Microsoft and Activision Blizzard have decided to extend their merger deadline to October 18. This move comes as both companies aim to successfully complete the largest technology deal in history.
“We are confident in our next steps and believe that our deal will be finalized soon,” stated the spokesperson.
Additionally, Activision reported adjusted earnings of 91 cents per share on revenue of $2.21 billion for the second quarter. They also declared a cash dividend of 99 cents per share.
Pre-market trading indicated a slight 0.3% slip in Activision’s shares, while Microsoft’s shares saw a 0.4% increase.
In a major victory earlier this month, Microsoft successfully defended against the Federal Trade Commission’s request for a preliminary injunction to block the merger. The Ninth Circuit Court of Appeals upheld this decision, effectively clearing the path for the deal to go through in the United States.
However, Microsoft still faces regulatory uncertainty in the U.K. The CMA previously blocked the deal due to concerns about its impact on the cloud gaming market.
To address these concerns, Microsoft is seeking to appeal the CMA’s decision. The CMA has extended the deadline for a final decision until August 29 as they review Microsoft’s submission.
In an effort to appease regulators, Bloomberg reported that Microsoft and Activision are considering relinquishing some control of their cloud gaming business in the U.K. This extension of the merger deadline allows both companies more time to find a resolution.
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