UK Regulator to Refer Microsoft's Activision Blizzard Deal for Further Probe -- Update

By Kyle Morris and Ian Walker

The U.K.'s Competition and Markets Authority said Thursday that it is referring Microsoft Corp.'s $75 billion acquisition of Activision Blizzard Inc. for a further in-depth investigation after the U.S. company refused to offer any undertakings to satisfy the CMA's concerns over the deal.

The regulator--which started its initial review into the deal in July--said that it was informed on Sept. 6 by Microsoft that it wouldn't be offering any undertakings.

On Sept. 1 the U.K. regulator said that Microsoft's planned acquisition of Activision Blizzard could harm their rivals and newcomers to the videogame industry, adding uncertainty to the deal in one of the world's largest markets for interactive entertainment.

The Competition and Markets Authority started its investigation into the acquisition in July to determine whether it could lessen competition in the U.K. On Sept. 1, the regulator said it would give the companies five working days to offer commitments to address the competition concerns it flagged.

On Jan. 18, Microsoft agreed to buy Activision Blizzard Inc. in an all-cash deal.

Write to Kyle Morris at kyle.morris@dowjones.com and Ian Walker at ian.walker@wsj.com

(END) Dow Jones Newswires

September 15, 2022 08:14 ET (12:14 GMT)

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