Ubisoft Explores Buyout Options with Tencent as Founders Aim to Retain Control
Talks between the Guillemot family and Tencent focus on structuring a deal to stabilize Ubisoft while avoiding a hostile takeover.
- The Guillemot family, Ubisoft's founders and largest shareholders, are negotiating a management-led buyout to maintain control of the company.
- Tencent, Ubisoft's second-largest shareholder, is considering financing the buyout but seeks greater influence over board decisions and cash flow distribution.
- The discussions reportedly aim to prevent a hostile takeover by third-party investors amidst Ubisoft's declining financial performance and stock value.
- Recent setbacks, including the shutdown of XDefiant and delays for major titles like Assassin's Creed Shadows, have intensified pressure on Ubisoft's leadership.
- Ubisoft's stock price saw a 14% increase following reports of the ongoing negotiations, though it remains significantly lower than its peak value in 2021.