Activision Blizzard’s Shareholder Landscape: A Comprehensive Overview

How Many Shareholders Did Activision Blizzard Have?

Before its acquisition by Microsoft, Activision Blizzard had a diverse group of investors, encompassing both institutions and individual shareholders. According to filings with the Securities and Exchange Commission (SEC), there were 2,119 institutional owners and shareholders that had filed 13D/G or 13F forms. These institutions collectively held a significant 665,854,342 shares. The total number of shareholders, including smaller retail investors not required to file such forms, is more difficult to pinpoint exactly, but it was certainly far greater than 2,119. However, the number of institutional shareholders provides a good indication of the breadth and depth of interest in Activision Blizzard’s stock.

The ownership landscape of publicly traded companies is typically dynamic, with shares changing hands regularly. However, the major players like Vanguard Group, BlackRock, State Street Global Advisors, and Berkshire Hathaway consistently ranked among the top shareholders. This is common for large-cap public companies with robust investor interest. It is also important to acknowledge that Microsoft now owns Activision Blizzard as of October 13, 2023, and the landscape has fundamentally shifted.

Top Shareholders Before Acquisition

Before Microsoft’s acquisition, several institutional investors held a substantial portion of Activision Blizzard’s stock. Here’s a look at some of the key players:

• The Vanguard Group, Inc. – Often one of the largest shareholders of publicly traded companies through its various investment funds, Vanguard held a significant portion of ATVI.
• BlackRock, Inc. – Similarly, BlackRock, another major asset management company, maintained a large stake in Activision Blizzard.
• State Street Global Advisors, Inc. – State Street was another significant institutional shareholder.
• Berkshire Hathaway Inc. – Warren Buffett’s conglomerate, Berkshire Hathaway, also held a considerable number of shares.

These major institutional investors alongside other firms constituted a significant portion of the 2,119 institutional shareholders, highlighting how deeply institutional money was invested in the company. It’s also essential to note that while the four named above were the most prominent, many other large and smaller institutional investors played a role in Activision Blizzard’s ownership.

Activision Blizzard’s Total Shares Outstanding

At the time of the acquisition, Activision Blizzard had 786,000,000 shares outstanding. This number remained consistent throughout 2023, as verified in their financial reports. The number of outstanding shares is a critical metric as it’s the denominator for calculating earnings per share and determines ownership percentages.

Impact of Microsoft Acquisition on Shareholders

The acquisition of Activision Blizzard by Microsoft for $95.00 per share had a significant impact on all shareholders, both institutional and retail. Upon closing the deal, each shareholder received $95 for each share they owned at the close of trading on October 12, 2023. This meant that the previous shareholders of Activision Blizzard no longer own stock in the company, but rather have received payment for their shares from Microsoft. This marked a complete transition of ownership, making Microsoft the sole owner of Activision Blizzard.

What Does the Acquisition Mean?

The purchase of Activision Blizzard by Microsoft was one of the largest tech acquisitions in history, costing around $68.7 billion. This acquisition brought the gaming giants like “Call of Duty,” “World of Warcraft,” and “Candy Crush” under Microsoft’s umbrella. Microsoft’s strategic move aims to bolster its position in the gaming market and expand its content offerings. This purchase was subject to intense regulatory scrutiny worldwide before finally gaining approval.

Activision Blizzard Shareholder FAQs

Here are 15 frequently asked questions regarding Activision Blizzard’s shareholders and the acquisition, providing additional details:

1. How many institutional owners did Activision Blizzard have?

   • There were 2,119 institutional owners and shareholders that filed with the SEC.

2. Who were the biggest shareholders of Activision Blizzard before the acquisition?

   • Major institutional shareholders included The Vanguard Group, BlackRock, State Street Global Advisors, and Berkshire Hathaway.

3. How many shares of Activision Blizzard were outstanding?

   • There were 786,000,000 shares outstanding at the time of the acquisition.

4. What happened to Activision Blizzard shareholders after the Microsoft acquisition?

   • All shareholders received $95.00 per share in cash, effectively dissolving their ownership of the company.

5. When did Microsoft acquire Activision Blizzard?

   • The acquisition closed on October 13, 2023.

6. How much did Microsoft pay for Activision Blizzard per share?

   • Microsoft paid $95.00 per share in an all-cash deal.

7. How much did the Microsoft deal cost in total?

   • The total acquisition cost was around $68.7 billion.

8. Was Warren Buffett a shareholder of Activision Blizzard?

   • Yes, Warren Buffett’s Berkshire Hathaway owned a significant number of shares of Activision Blizzard.

9. Did Buffett acquire the Activision stock himself or did his lieutenants do so?

   • Most of the stock was bought by Buffett himself, with the remainder bought by one of his investment lieutenants, Ted Weschler or Todd Combs.

10. Did Activision always own Blizzard?

    • No. Activision and Blizzard merged in July 2008 to form the new entity, Activision Blizzard.

11. Who was the CEO of Activision Blizzard at the time of the acquisition?

    • Bobby Kotick was the CEO of Activision Blizzard.

12. What was Bobby Kotick’s annual compensation before acquisition?

    • His total yearly compensation was $178.88K with the majority in bonuses and stock options.

13. Did Bobby Kotick own any stock in Activision Blizzard?

    • Yes, Bobby Kotick directly owned 0.5% of the company’s shares.

14. Was Activision Blizzard profitable at the time of the acquisition?

    • Yes, Activision Blizzard reported a net income of $587 million for the second quarter of 2023.

15. What will happen to Activision Blizzard as a company now?

    • Activision Blizzard is now a subsidiary of Microsoft and its games are now part of the Microsoft portfolio.

This overview clarifies the shareholder landscape of Activision Blizzard before its acquisition by Microsoft. The data shows the vast interest and investment held by institutional investors. It also highlights the pivotal moment for shareholders when the acquisition was completed, turning all shareholders into recipients of a pre-determined cash payout. The purchase, one of the largest in tech history, significantly altered the gaming industry, with Microsoft’s entry as a major player.