: Activision extends Microsoft merger deadline, declares 99-cent dividend

Videogame maker Activision Blizzard Inc. ATVI announced Wednesday an agreement with software giant Microsoft Corp. MSFT to extend the merger deadline by three months to Oct. 18. The potential termination fee payable to Activision was increased to $3.5 billion from $3.0 billion if the deal is terminated after Aug. 29, and to $4.5 billion if its terminated after Sept. 15. Activision also declared a cash dividend of 99 cents, in which shareholders of record on Aug. 2 are paid the dividend on Aug. 17. The companies agreed in January 2022 that Microsoft would buy Activision, with a U.S. federal judge giving the merger the green light last week, and European Union regulators approving the deal in May. Separately, Activision reported second-quarter net income rose to $587 million, or 74 cents a share, from $280 million, or 36 cents a share, in the year-ago period. Excluding nonrecurring items, adjusted earnings per share of 91 cents beat the FactSet consensus of 88 cents. Revenue grew 34.2% to $2.21 billion, below the FactSet consensus of $2.38 billion.

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