Activision Blizzard CEO Bobby Kotick speaks on stage during “Managing Excellence: Achieving Consistently Great Results” at the Vanity Fair New Establishment Summit at the Yerba Buena Arts Center on October 19, 2016 in San Francisco.
Michael Kovac | Getty Images
Coca Cola Co. said Friday that Bobby Kotick, CEO of video game publisher Activision Blizzard, will not run for re-election to the company’s board of directors.
Kotick is stepping down as the company works to complete its $68.7 billion sale to Microsoft, the largest U.S. tech deal in history. The deal was announced in January and Microsoft expects it to close in the fiscal year ending June 30, 2023.
“I have decided not to run for re-election to The Coca-Cola Company’s board of directors in order to keep my full focus on Activision Blizzard at this pivotal moment as we prepare for our merger with Microsoft,” said Kotick, who served as director of the company. for 10 years,” the statement said.
Kotik, 58, has become a controversial figure in recent months. In November, The Wall Street Journal reported that women had accused Kotick of misconduct, alleging that he did not share everything he knew about abuse within Activision with the company’s board of directors. The family of an employee who committed suicide on Thursday filed a lawsuit against Activision in Los Angeles Superior Court, alleging wrongful acts were the cause of death.
Kotick’s involvement in politics has also attracted attention. Through secret companies, he funded Republican campaigns in 2020 as well as GOP causes, CNBC reported last month.
Coke has a financial relationship with Activision, but the drinks giant’s board determined the relationship was not material, in part because sponsorship agreements accounted for less than 1% of Activision’s gross revenue, according to the SEC filing.
Kotick received a $340,003 settlement from Coca-Cola in 2020 as general compensation for his work on the board of directors, the statement said.
SOC Investment Group, a Washington-based nonprofit that works with union-backed pension funds in shareholder mobilization campaigns, called on Coca-Cola CEO Maria Elena Lagomasino to convince fellow board members not to run Kotick for reelection before Microsoft announces about your decision. bid for Activision Blizzard.
Kotick is ineligible to serve on the board of Coca-Cola because he learned of abuses by Activision Blizzard management, but tried to keep them or reduce their disciplinary action, among other alleged issues, said Dieter Weizenegger, chief executive of SOC, Lagomasino in December . letter.
“His actions and statement are clearly disqualified and if he is re-elected, we will have no choice but to oppose his re-election, as well as the re-election of other directors of Coca-Cola,” Weizenegger wrote.
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