Blizzard Files for Emergency Appeal
In a move to block an $8 billion dollar deal between Activision Blizzard and parent company Vivendi, a preliminary injunction has been filed in a Delaware Chancery Court. The injunction was placed due to multiple lawsuits by shareholders of the company. The deal will continued to be blocked until it can be approved by the stockholders. The hearing is set for October 10th about the appeal set in motion by Activision Blizzard.
Through the sale, Activision Blizzard will become their own company while Vivendi would continue to hold 12 percent stake in the business. The total purchase is approximately 429 million shares in the company. This would equal $5.83 billion in cash value.
Assisted by investors, the management team of Activision Blizzard created the deal. Shareholders would have shares that would entitle them some control in the company.
Despite the shareholders having control, one shareholder stated that it would "unjustly enrich Kelly, Kotick, and other participants."