Overview
- Microsoft reached the $250 million settlement with Swedish pension fund Sjunde AP‑Fonden (AP7) to resolve a lawsuit that argued Activision Blizzard’s 2022 sale was rushed and shareholders were shortchanged.
- The agreement, filed in Delaware’s Court of Chancery, was reported late Friday and settles both the AP7 claim and related counterclaims by former CEO Bobby Kotick and Microsoft.
- AP7 said Microsoft agreed to the deal to avoid the burden and cost of continued litigation and the company did not admit any wrongdoing as part of the settlement.
- Kotick had accused the lawsuit of being designed to help rival publisher Embracer, an allegation Embracer denied; those factual disputes will no longer be litigated because of the settlement.
- The $250 million is intended for affected Activision shareholders but the funds cannot be distributed until a judge approves the settlement and a court process defines how payouts are made.