The U.S. Federal Trade Commission (FTC) will not stand idly by after the harsh defeat it suffered today following the ruling by Judge Jacqueline Scott Corley, who denied the request for a preliminary injunction. Now, the only recourse left for the American regulator is to appeal, and it is said that it could be filed within hours.
The FTC could appeal the verdict in a last attempt to block the acquisition of Activision
According to information from Bloomberg, an internal source with knowledge of the process between Microsoft and the FTC revealed that the regulator will file an appeal against today's verdict, and it is expected to meet the legal requirements for such a request as early as tomorrow. At the moment, there is a restraining order issued by Judge Jacqueline Scott Corley that prevents Microsoft and Activision Blizzard from completing the acquisition from today until midnight on Friday, July 14th, covering the legal timespan that allows the appealing party to do so.
The FTC is leaning toward appealing a federal judge’s ruling against the agency’s bid to block Microsoft's $69 billion takeover of Activision https://t.co/VYCFoKDknf
— Bloomberg (@business) July 12, 2023
According to the report, it is expected that the appeal process and its respective ruling will not be ready before July 18th, the deadline set by Microsoft and Activision Blizzard for the completion of the acquisition. Therefore, it could be an ineffective recourse with minimal chances of success, as the merger would be closed, and only the direct hearings between Microsoft and the FTC scheduled for August remain, from which nothing significant is expected.
If the appeal can serve any purpose for the FTC, the regulator will use it in its increasingly lost battle to block the acquisition of Activision Blizzard.
So far, the merger is a done deal pending official confirmation, and the impact of today's adverse ruling against the FTC has reached the United Kingdom, as the CMA announced that it will negotiate with the companies to find a solution that does not involve litigation and concludes with the approval of the purchase.
Stay tuned here at LEVEL UP.
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