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Ubisoft Is Taking Major Steps To Block Acquisition Attempts
Home>News
Published 10:26 5 May 2022 GMT+1

Ubisoft Is Taking Major Steps To Block Acquisition Attempts

Who knew entering into NFTs was a bad move?

Georgina Young

Georgina Young

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Featured Image Credit: Ubisoft

Topics: Ubisoft

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Ubisoft has been under the eyes of potential buyers recently as the developer and publisher has struggled financially over the last year. 

While classic franchises such as Far Cry and Assassin’s Creed have been turning a profit for the company, financial missteps such as its entry into the now collapsing NFT marketplace, and consistent delays on games, such as the Prince Of Persia: The Sands Of Time remake and Beyond Good And Evil 2, has led to a loss in its overall market cap. According to Bloomberg, despite the publisher valuing itself with a worth of around $15 billion, a 41% drop in stock prices over the past year values it closer to a more modest $5 billion.

Ubisoft developed Skull And Bones was set to release last year but was delayed. A recent leak showed what the game looks like now, but check out the original trailer in the video below.

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Rumours that private equity firms have been looking to purchase the company have been swirling since the beginning of this year, even though CEO Yves Guillemot has said that Ubisoft has the ability to remain independent. Currently, Guillemot and his four brothers, Christian, Claude, Gérard and Michel, own almost 16% of Ubisoft’s stocks as founding members.

According to stock reports by Seeking Alpha, Ubisoft stock rose by a substantial 10% yesterday (4 May) after the Guillemot brothers reported they are “considering partnering with a private equity firm to acquire the company.” This would include purchasing the majority of stocks which is what probably influenced the increase in stock prices.

While the family are currently the leading shareholders at Ubisoft, they would need to make a huge investment - likely billions of dollars - in order to take the majority. While early talks have taken place, no deals or concrete plans have been made or settled. We will have to wait and see if a buyout takes place, and if it eventually falls into the founding brothers’ hands. 

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