US corporate and securities law firm Pomerantz LLP is investigating Activision for potential “securities fraud” or “unlawful business practices” by its officers or directors.
Marketwatch originally reported the news as a shareholder alert following a press release by the law firm.
The law firm launched the investigation following claims by shareholders. It is also recruiting shareholders who wish to join a potential class action against the company.
The news comes after Destiny creator Bungie split from Activision last week. The deal lead to Bungie regaining control of the Destiny franchise and intellectual property following a mutual agreement.
Following the split, Activision’s stock price fell almost 10 per cent. The company’s overall stock nosedived from $84.68 USD to its current price of $46.84 USD in the last six months alone.
The press release released by the law firm investigating the company also cited the recent Bungie/Activision split.
The law firm says it is seeking holders of Activision shares to join a class action.
Activision has not yet responded to the announcement. Keep an eye on Level Up Times as the story develops for the latest information.
