[Asia Economy Reporter Yujin Cho] Bobby Kotick, CEO of Activision Blizzard, is set to receive at least $390 million (approximately 464.5 billion KRW) from Microsoft's acquisition of Activision Blizzard, the largest merger and acquisition (M&A) in the history of the gaming industry, CNN reported on the 19th (local time).
Kotick, who holds the largest number of shares among Blizzard executives, owns about 3.95 million shares. Microsoft announced the day before that it will purchase Blizzard shares at $95 per share, a 45% premium over the closing price on the 14th. The acquisition amount will be paid entirely in cash.
According to The Wall Street Journal (WSJ), Kotick will step down from his CEO position once the deal is finalized. Foreign media reported that Kotick's resignation is expected around June next year.
At the time of the acquisition announcement, Microsoft stated, "Once the acquisition is complete, Activision Blizzard's business will report to Phil Spencer, CEO of Microsoft's gaming division," indicating that Kotick does not plan to retain his CEO position.
Kotick faced two resignation crises in the past six months due to internal sexual harassment scandals at Blizzard. CNN pointed out that Kotick, who was cornered by revelations that he knew about and covered up the internal sexual harassment incidents, will receive a large sum of money through the company sale.
Blizzard experienced its greatest crisis since its founding last year, as sexual harassment by company executives and a male-dominated workplace culture surfaced, leading to investigations by government authorities.
Famous as the developer of 'World of Warcraft,' Blizzard has nearly 400 million gamers worldwide. Microsoft plans to accelerate its metaverse business through the acquisition of Blizzard.
Satya Nadella, Chairman and CEO of Microsoft, said, "Gaming is the most dynamic and exciting entertainment sector across all platforms," adding, "It will play a key role in the metaverse business."
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