The initial deadline for the deal was July 18th, but the roadblocks put in place by the European Commission, FTC and CMA over the past few months have meant that it's taken much longer to complete than originally anticipated.
Specifically, Microsoft's focus is on the UK Competition and Markets Authority right now, with the regulator suggesting that it needs a little more time to discuss a potential way forward based on Microsoft's latest proposals.
Here's what Activision had to say about the deadline extension in a press release today:
"On July 18, 2023, Activision Blizzard and Microsoft entered into an agreement waiving certain rights to terminate the merger agreement if the merger has not been consummated prior to October 18, 2023. The terms of the agreement include an increase in the termination fee payable to Activision Blizzard from $3.0 billion to $3.5 billion if the transaction is terminated after August 29, 2023, and to $4.5 billion if the transaction is terminated after September 15, 2023.
The agreement also includes amendments to Activision Blizzard’s commercial Xbox arrangements with Microsoft, valued at up to $250 million for each of fiscal years 2023 and 2024. The agreement further enables Activision Blizzard to declare and pay one regular cash dividend for fiscal year 2023 of up to $0.99 per share, prior to and not contingent on the closing of the transaction."
