Activision Blizzard goes indie after CEO Kotick buys back the company
Activision Blizzard is set to split from parent company Vivendi after a deal has been made to buy back the company for just over $8 billion. Led by CEO Bobby Kotick and Chairman Brian Kelly, the split will see 439 shares (worth $5.83 billion) bought by Activision Blizzard itself, while an investment group led by Kotick and Kelly will purchase 172 million shares (worth $2.32 billion). Vivendi will still retain 83 million shares, or about 12 percent of the company.
This puts Activision Blizzard in the "independent" category, which is an interesting label for one of the largest game publishers of our day.
"We should emerge even stronger -- an independent company with a best-in-class franchise portfolio and the focus and flexibility to drive long-term shareholder value and expand our leadership position as one of the world's most important entertainment companies." Kotick said. "The transactions announced today will allow us to take advantage of attractive financing markets while still retaining more than $3 billion cash on hand to preserve financial stability."
