Warren Buffett’s investment firm, Berkshire Hathaway, made a decision to sell 70% of its shares in Activision Blizzard during the second quarter. Although they may have missed out on some gains due to a federal judge’s approval of Microsoft’s $75 billion acquisition of the video game company, the move highlights a strategic decision by Buffett.
In a regulatory filing made on Monday, Berkshire disclosed that it owned 14.7 million shares of Activision, which accounted for 1.9% of the company’s shares and were valued at $1.24 billion as of June 30. This is a significant reduction compared to the 6.3% stake, or 49.4 million shares, that Berkshire held on March 31.
The filing did not provide specific information about the prices at which the sales were made, nor did it mention any buying or selling of Activision stock in July. Berkshire has not commented on the matter at this time.
Buffett’s investment in Activision was an arbitrage play based on the belief that investors were overly pessimistic about regulators approving the merger between Microsoft’s Xbox gaming console business and the publisher of popular franchises such as “Call of Duty” and “Candy Crush.” A Berkshire portfolio manager initially invested in Activision in late 2021, and Buffett later increased the stake to nearly 10% in 2022.
Follow Google NewsDenial of responsibility! VigourTimes is an automatic aggregator of Global media. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, and all materials to their authors. For any complaint, please reach us at – [email protected]. We will take necessary action within 24 hours.
