Rumors that the EU may approve the acquisition next week broke today on some reputable news sites ( https://www.reuters.com/markets/deals/eu-decision-clearing-69-bln-microsoft-activision-deal-expected-may-15-sources-2023-05-10/ ) and the stock has not jumped. There was a rumor from the NY Post ( https://nypost.com/2023/04/25/microsoft-preparing-to-close-activision-deal-despite-ftc-suit-sources/ ) a few weeks back that said the UK was gonna approve the deal and then a couple days later the UK did the opposite! But it seems as if investors are shy to jump the gun on another rumor because the price is pretty flat today.
Before the UK rumor debacle the price was hovering around $85 a share for awhile. Then when the UK regulators denied the deal the price dropped to $75 / $76 range which is still where its at right now. This morning I have bought shares at $76.12 and might go for more if the price goes red today.
Some people say that the deal can go through without the UK, which I don't fully understand, would that mean that somehow UK gamers are blocked from something? Doesn't seem possible. I would like to hear from anyone here that has knowledge of how an acquisition can be approved by some countries but not others.
And if the deal gets approved does the share price automatically jump to $95 ( the buyout price ) that day? I am trying to figure out if I am playing this one short term or long term. I would love to hear if anyone else is playing this one and their thoughts. I am, not looking or giving financial advice and I am here to learn.
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