Activision is free to buy back its own shares from current parent company Vivendi, now that the Delaware Supreme Court has overturned a ruling
that prevented the deal from going down. The transaction is expected to be completed on October 15.
Activision will buy 429 million of its own shares from Vivendi for $5.83 billion in cash, while Activision CEO Bobby Kotick and Co-Chairman Brian Kelly will separately purchase 172 million shares from Vivendi for $2.34 billion in cash. After the deal, Activision will have no one to answer to but itself – and all of its remaining shareholders.
A lower Delaware court halted the transaction earlier this year after an investor sued, alleging the Activision board breached its duties by not putting the deal to a shareholder vote. Activision announced on September 24 its plans to appeal that ruling.