U. S. investigation into Activision Blizzard
2022.04.01 00:37
U. S. investigation into Activision Blizzard
By Tiffany Smith
Budrigannews.com – Authorities in the United States are looking into whether Activision Blizzard Inc. (NASDAQ: The Wall Street Journal reported on Thursday that ATVI) broke insider trading laws after a meeting between CEO Bobby Kotick and one of the traders.
A few days earlier, Microsoft Corporation (NASDAQ: According to the report, which cited unidentified sources, MSFT) stated that it would acquire the maker of “Call of Duty” for $95 per share and generated an unrealized profit of approximately $59 million.
According to the report, Kotick and the trader, Alexander von Furstenberg, met a week before von Furstenberg, along with media tycoons Barry Diller and David Geffen, purchased options on Jan. 14 to purchase Activision shares at $40 each.
“Mr. Kotick had a social brunch with his friends at a popular restaurant” (https://on.wsj.com/36L1OJx). Naturally, he didn’t tell them anything about a possible deal with Microsoft,” a Kotick representative told Reuters.
According to the WSJ report, the Securities and Exchange Commission (SEC) and the United States Department of Justice are independently investigating insider trading.
The Justice Department’s spokesperson declined to comment. The SEC “does not comment on the existence or nonexistence of a possible investigation,” according to a spokesperson.
According to the report, Diller previously stated to the WSJ that none of the traders had material non-public information regarding the transaction.
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