Activision-Vivendi merger will shake gaming biz

By Georg Szalai NEW YORK (Hollywood Reporter) - Let the games begin. Activision Inc shareholders Tuesday are expected to approve a merger with Vivendi Games that will allow the deal to close within days and create a new top dog in the fast-growing video gaming world. The terms of the deal, unveiled in December, valued the new Activision Blizzard at $18.9 billion. Current gaming king Electronic Arts Inc's' market capitalization after Monday's market close stood at $14.1 billion, according to Yahoo Finance. More important for Wall Street, while EA has been reporting losses, Activision Blizzard, of which Vivendi will own a slight majority, has promised to be the most profitable gaming firm and grow its bottom line at a healthy pace. "I don't care about who is No. 1 and 2," Hudson Square Research analyst Daniel Ernst said.... [read full story]