Microsoft to acquire Activision Blizzard in $68.7 billion deal
(CNN) -- Microsoft announced plans to acquire Activision Blizzard, the video game company behind blockbuster hits like "Warcraft," "Overwatch" and "Call of Duty," in an all-cash transaction valued at $68.7 billion. Microsoft says that the move will make the company the third-largest gaming company by revenue, after Tencent and Sony.
Bobby Kotick, the controversial CEO of Activision Blizzard, will continue in his role, according to a press release detailing the announced acquisition.
The agreement is pending regulatory review and Activision Blizzard shareholder approval, with the deal set to close in 2023. Activision Blizzard's stock shot up more than 30% ahead of the market open Tuesday morning; Microsoft shares fell around 1.5%.
The acquisition would boost Xbox-maker Microsoft's Game Pass portfolio with the addition of Activision Blizzard games and the nearly 400 million monthly active players that come with them.
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