Vivendi proves it’s the greediest company in gaming
Vivendi has been trying to offload the ludicrously profitable Activision Blizzard for some time now but it just doesn’t look like anyone has enough cash to pick up the cash cow and now Vivendi is planning some creative accounting to simply suck all the cash out of the company.
Now I’m no economical genius and I recently found out from a corporate governance guy that a company with a large bank balance is negatively viewed as it appears that they have no ambition and are not progressing. And a company with a large income and a massive debt is a good thing as it shows they are using their money… so yeah that makes absolutely no sense what so ever in my opinion.
But Vivendi believes this mantra and even though Activision in incredibly profitable and stable they are also sitting on a massive cash pile and that makes them look bad. It also makes Vivendi drool as they want that cash so they can invest it in something else.
According to Financial Times, via vg247,
“the publication claims Vivendi and Activision Blizzard have discussed having the latter company extend a tender offer partially covering Vivendi’s stake, funded by its available cash or a debt offering”
What that means to me and you is that Vivendi are going to score $400 million from Activision and put Activision in a less comfortable position. Meaning more DLC, micro transactions and milking of the consumer. So next time you want to target your anger at Activision for being evil… just remember who the real puppet master is here.