Sounds like a pretty big claim, but we can see why with Activision Blizzard shares currently at US 27.50. However, it's not all about the profits. Robert Kotick, President and CEO of Activision Blizzard explained that the merging opens up a lot of possibilities in the gaming industry for the two companies:
By combining leaders in mass-market entertainment and subscription-based online games, Activision Blizzard has leading market positions across all categories of the rapidly growing interactive entertainment software industry.
As it stands right now, Vivendi (who owns Blizzard) is now a subsidiary of Activision, and currently owns 295.3 shares of Activision stock. Vivendi will also buy 62.6 million shares in the future, and will end up laying claim on 52 percent of Activision stocks.
What can we expect from the newly-formed Activision Blizzard then? As we have stated previously, there are the much-awaited titles such as Diablo 3, World of Warcraft: Wrath of the Lich King, and even Guitar Hero. But will they also try and merge two of their franchises, perhaps? We're still waiting for our Guitar Hero meets World of Warcraft game, Actizard.
Related articles:
- Activision, Vivendi Games to merge into Activision Blizzard
- Analyst: Activision/Vivendi potential earnings of USD 1.38 Billion in 2009
- Court junks shareholder request to stop Activision Vivendi merger
- Call them Actizard: Activision-Vivendi merger gets official
