SAN DIEGO, Aug. 12, 2013 (GLOBE NEWSWIRE) -- The Shareholders Foundation, Inc. announces that an investor who currently holds shares of Activision Blizzard, Inc. (ATVI) filed a lawsuit against certain directors of Activision Blizzard, Inc. over alleged breaches of fiduciary duties in connection with a $8.2 billion deal to buy back Vivendi SA's stake.
If you purchased Activision Blizzard, Inc. (ATVI) shares in 2012 or earlier and currently hold any of those ATVI shares, you have certain options and you should contact the Shareholders Foundation, Inc. by e-mail at mail@shareholdersfoundation.com or call +1 (858) 779-1554.
The plaintiff alleges that the deal from July 26 to buy back Vivendi SA's stake in Activision Blizzard, Inc. for over $8 billion enriches certain company insiders at the expense of public investors in Activision Blizzard, Inc. The plaintiff says that by buying back billions of dollars of discounted stock from Vivendi SA certain insiders are getting a staggering windfall of more than $600 million.
More specifically, the plaintiff claims that Activision Blizzard, Inc. will buy back 439 million of Vivendi SA's shares for $5.83 billion, and an investor group headed by Activision Blizzard CEO's will pick up 172 million shares in a private sale for $2.34 billion, which is a 10 % discount on Activision Blizzard's stock closing price the day before the deal was announced. The plaintiff says that at least six of the eleven board members of Activision Blizzard, Inc. are conflicted due to close ties with Vivendi SA and that the Vivendi-controlled directors have no incentive to resist Vivendi SA's push, as they are all retiring from their roles as directors of Activision Blizzard, Inc. upon consummation of the transaction. The plaintiff alleges that while the investor group stands to score an immediate paper windfall of $664 million the sale does not benefit Activision Blizzard, Inc. in any way.
Those who are current long-term investors in shares of Activision Blizzard, Inc. (ATVI) have certain options and should contact the Shareholders Foundation, Inc.
The Shareholders Foundation, Inc. is a professional portfolio legal monitoring and settlement claim filing service, which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. The Shareholders Foundation, Inc. is not a law firm. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.