Microsoft pays $250 million to finally settle Activision Blizzard acquisition lawsuit

Microsoft has agreed to a $250 million settlement to resolve a shareholder lawsuit over its Activision Blizzard acquisition, marking the end of the last major legal battle tied to the deal.

The details:

• The case was brought by Activision investors led by a Swedish pension fund, who claimed the publisher's sale to Microsoft was undervalued and rushed in order to shield the company and former CEO Bobby Kotick from fallout over sexual misconduct and discrimination scandals.
• As reported by Reuters, the $250 million settlement will be funded 40% by Microsoft, with the remaining 60% covered by Activision Blizzard’s directors‑and‑officers liability insurance, and it is subject to approval by Delaware’s Court of Chancery.
• The lawsuit followed a wave of legal and regulatory scrutiny around Activision’s workplace culture and the merger itself, including earlier settlements with California regulators and multi-year antitrust battles with the FTC and the UK's Competition and Markets Authority before the acquisition was finalized in late 2023.