Activision Blizzard Firmly Negative After Transferring Destiny Rights To Bungie

(RTTNews) - Shares of Activision Blizzard, Inc. (ATVI) have climbed off their worst levels of the day but continue to see significant weakness in afternoon trading on Friday. Activision Blizzard is currently down by 10.3 percent after ending the previous session at its best closing level in over a month.

Activision Blizzard fell sharply early in the session after the video game giant revealed in an SEC filing it is transferring full publishing rights and responsibilities for the popular Destiny franchise to developer Bungie.

Bungie will own and develop the franchise going forward, and as a result, Activision Blizzard does not expect to recognize material revenue, operating income or operating loss from the Destiny franchise in 2019.