Ubisoft Founders Collaborate with Tencent to Explore Taking Ubisoft Private

Ubisoft’s recent game launches have not fared well commercially, leading to a significant decline in the French gaming giant’s market value—over 50% lost this year alone. According to a recent report, the Guillemot family, the founders of Ubisoft, along with China’s Tencent, may be considering a collaboration aimed at a potential buyout of Ubisoft.

This information was reported by Bloomberg, which cites sources familiar with the company’s strategic discussions. Guillemot Brothers Ltd, which holds more than 20% of Ubisoft, and Tencent, owning around 10%, are reportedly engaging with advisors to “explore options to stabilize Ubisoft and enhance its market value.”

Among the strategies being discussed is the possibility of taking Ubisoft private, though this option is still in the “early stages”of exploration. Following the news of a potential buyout, Ubisoft’s stock price surged by over 31%, currently trading around the €14 mark as of this writing.

Several major game releases from Ubisoft, including Avatar: Frontiers of Pandora, Skull and Bones, XDefiant, and Star Wars Outlaws, have not achieved the financial success the company anticipated.

The lackluster launch of Star Wars Outlaws has also influenced the delay of the upcoming Assassin’s Creed Shadows, which has been pushed back to 2025. Furthermore, the company is shifting away from its PC-exclusive strategy, committing to release all future titles on Steam from day one.

As discussions regarding a buyout remain in the “early talks”phase, significant developments about the potential privatization of Ubisoft are not expected in the near future. The nature of alternative options being considered by the founders remains unclear.

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