NEW YORK (TheStreet) -- Activision Blizzard (ATVI) shares are down -1.3% to $20.60 after French media company Vivendi (VIV) announced that it was decreasing its investment in the video game maker and selling half of its shares.
The company will sell 41.5 million shares of Activision Blizzard, equivalent to 5.8% of the company's shares, worth approximately $860 million. Vivendi was at one time the principal shareholder of the Activision.
The sale continues Vivendi's effort to free up cash as the company looks to restructure and focus on its music and media properties.
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TheStreet Ratings team rates ACTIVISION BLIZZARD INC as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate ACTIVISION BLIZZARD INC (ATVI) a BUY. This is driven by a number of strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its solid stock price performance, attractive valuation levels, expanding profit margins, largely solid financial position with reasonable debt levels by most measures and notable return on equity. We feel these strengths outweigh the fact that the company has had sub par growth in net income."