Saudi Arabia’s Public Investment Fund (PIF) significantly increased its stake in California-based entertainment and games company Activision Blizzard Inc. last quarter, buying 37.9 million shares with a market value of $3.6 billion, according to Bloomberg.
That brings the PIF’s ownership to 4.9% of the company.
The stock ended the second quarter down 8% from its peak in mid-February. It’s lost nearly 10% so far this year, according to Bloomberg, after a profitable 2020 in which lockdowns drove demand for in-home entertainment.
The PIF investment comes amid turmoil at the company. A lawsuit filed by the California Department of Fair Employment and Housing last month alleges that Activision Blizzard Inc. fosters a “frat boy” culture in which female employees are subjected to constant sexual harassment, unequal pay, and retaliation.
The company is also facing another lawsuit from an Activision investor who is suing the company for not initially disclosing the ongoing state investigation.
Since 2015, the PIF’s assets under management have risen to $430 billion from about $150 billion, according to Bloomberg.
Overall, Saudis trading in US stocks declined 25.4 percent during the second quarter from a year ago, marking a decline in trading for the third quarter in a row, official data showed.
