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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.
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