Activision Blizzard reported earnings recently. Activision Blizzard misses on earnings, sees user decline in Q4

Activision Blizzard is also being acquired by Microsoft. This is cited as a reason to not provide guidance or more details on the earnings.

Given the Microsoft deal, Activision Blizzard isn't issuing guidance or any earnings presentation, or holding any call.

Why would being acquired be a reason not to provide guidance or details on the earnings?

  • They don't have to provide guidance or details, and since they're working on acquisition - why would they bother?
    – littleadv
    Commented Feb 4, 2022 at 6:15
  • @littleadv well it's relevant information for the acquirer, and also for their shareholders in deciding whether to approve of the deal or not, isn't it?
    – Allure
    Commented Feb 4, 2022 at 6:21
  • It is, but that's exactly why the company wouldn't want to provide it :) see the answer you got. Usually, unless it's a hostile takeover, the shareholder vote in this situation is all but guaranteed
    – littleadv
    Commented Feb 4, 2022 at 6:31

1 Answer 1


Until an acquisition is closed, the flow of information from the target company can and should be restricted to the agreed due diligence items and to SEC filings including the 10-Q. Extraneous information could contain bad news; and material, adverse information can give the acquirer the excuse to get out of the deal, scot-free.

The ostensible reason for not issuing guidance, too, may be that the change in control of a company will mean too much change in the company's operation to make a forecast.

  • Material adverse information would give the acquirer the excuse to back out scot-free (on misrepresentation grounds) regardless of whether the acquirer discovers it before or after the acquisition goes through.
    – Vikki
    Commented Feb 5, 2022 at 18:24
  • Wouldn't the acquirer want to know this information though? Presumably before the acquirer actually acquires, they'd want to know all the details there is to know about the company.
    – Allure
    Commented Feb 7, 2022 at 2:50

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