Tencent May Buy Ubisoft

Tencent and the Guillemot family may be considering buying Ubisoft. Ubisoft, which has lost more than half of its market capitalization, has been going through a difficult period recently. Chinese tech giant Tencent and Ubisoft founder Guillemot family are working on strategic options to shape the future of the company.

What Do Tencent and the Guillemot Family Think About Buying Ubisoft?

According to Bloomberg, Tencent and Guillemot Brothers Ltd. are in talks with advisors to stabilize Ubisoft and increase the company’s value. One of the options being discussed is turning Ubisoft over to the private sector. The company’s shares have fallen 54% this year, reducing its market capitalization to about $1.5 billion. Tencent currently holds a 9.2% stake in Ubisoft, while the Guillemot family controls 20.5%.

This year, Ubisoft’s situation has become more difficult, especially with delays and weaker-than-expected sales of Assassin’s Creed Shadows. For the past few years, the company has been trying to recover from the production challenges of the pandemic. However, this ongoing process has caused significant delays in the company’s release of new games.

Tencent and the Guillemot family are considering a number of possibilities for Ubisoft’s future. Privatizing the company or selling it to a strategic investor are among these options. In particular, there is talk of Tencent increasing its stake in Ubisoft and having more say in the company. However, analysts state that Tencent’s influence on Ubisoft is currently limited.

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