Ubisoft could potentially be the next big third-party video game company to be bought out. According to a report on Bloomberg, the French publisher and developer known for franchises such as Assassin's Creed and Just Dance could be gearing up for a sale.
Private equity firms Blackstone Inc. and KKR & Co are supposedly "already studying the French" business. According to Kotaku, who has been in contact with former Ubisoft developers, it's believed the company will "eventually sell to someone amid a flagging stock price and ongoing struggles" tied to multiple projects.
However, Bloomberg's sources claim "Ubisoft hasn't entered into any serious negotiations with potential acquirers, and it's unclear whether its major shareholder is willing to pursue a deal".
Kotaku adds how Ubisoft has apparently been "working closely with several outside consultancy firms" in recent years to audit parts of the business. Kotaku's sources believe Ubisoft could be doing this ahead of a potential sale. Representatives of Blackstone, KKR and Ubisoft have not provided a response to news of a potential takeover.
This follows on from a story in February this year during a third-quarter earnings call - where CEO Yves Guillemot ("the company's biggest investor with a 15% stake") said the company would "of course" review any potential acquisition offers:
"Ubisoft can remain independent...our IPs are sought after by the biggest global players in entertainment and tech. Having said that, if there were an offer to buy us, the board of directors would of course review it in the interest of all stakeholders."
If we hear any updates, we'll let you know. Tell us your thoughts in the comments!
[source bloomberg.com, via kotaku.com]
Comments 40
Buy ubisoft ,put the games on GP then put ubisoft plus on ps
I feel like it's the worse of the two options. Ubisoft Vs Activision Blizzard. I feel that Microsoft couldn't try and buy Ubi, even if they wanted to...as surely it would look anticompetitive/monopoly like... and potentially could jeopardize the Activision Blizzard deal from going through...which already has some people worried about monopoly practices etc.
But I know nothing of business beyond what I've picked up here and there within gaming industry news. So correct me if I'm missing something!
What about Netflix? A quick Google search indicates net worth of $98.7 billion. Ubisoft net worth $4.6 billion. The market value surely has shifted following Bungie / Activision Blizzard / Bethesda increasing that worth. But Ubisoft and Netflix already have ties for series based on IP. Plus Netflix has been making a concerted push into gaming. Just playing devil's advocate here really.
Honestly I would prefer to see them remain independent and to make solid games. I'm excited for Splinter Cell and their Star Wars open world game.
Seeing the Activision acquisition already isn't a sure thing buying another big publisher after that will be an even less sure thing. Seeing that the Ftc and Doj have to be more strict in preventing the big tech companies from growing even bigger and becoming monopolistic , I doubt we'll see another acquisition besides maybe some smaller studios.
Xbox needs to do a better job at managing what they allready have as for all the teams they own; dont seem to get anything out and have only had bad workplace reports or people leaving in droves. Buying another publisher only further shows they need to buying big orgs with a management structure in place as their pure 1st party cant get it done. (343 taking a year extra for coop)
A private equity firm like KKR will most likely be the buyers this time, which would be good news for everyone as ubisoft games will remain multi platform
I wish people would stop encouraging microsoft to buy everyone they can't even properly manage the studios they have.
Eh, I don’t see how Microsoft could purchase Ubisoft right now.
Of course, their limitless wallet ain’t stopping them but I’m pretty sure the FTC would. If it really is on the table, I’d imagine Microsoft is making sure the ActiBlizz acquisition is granted first.
It's probably Microsoft and would explain the recent increase in Ubisoft games on Game Pass. The FTC would be complicit in the acquisitions because they let Disney do acquisitions that were even more monopolistic.
@Rangers420 I agree with you but do you honestly believe we fans have any kind of say in these multi billion business deals?
On top of that, it’s only a tiny minority of fans that are actually vocal about these things.
@Grumblevolcano
people always throw the monopoly thing but they forgot about Disney
@CrazyJF
i think it was more about engines, kings (mobile) and mmo.
after this microsoft going to be the biggest mmorpg company in the west.
and about cod people always complain but they buying the games and keep paying to the cash shop so maybe less copies but still bigger income.
@creek_king that’s a really interesting thought about Netflix. Sadly if that happens I’ll probably never play another Ubisoft game again. Netflix is the worst of the streaming services a far as offerings. And as much as I enjoy a few Ubisoft games. I don’t enjoy any enough to want to subscribe to Netflix.
Both Blackstone and KKR would be terrible. KKR. Ugh.
I don’t care much for Ubisoft’s recent games. However, I would be slightly upset if Microsoft or Sony bought them since Mario and Rabbids is the only good thing Ubisoft has made in about a decade. If they are bought by another console manufacturer, then Nintendo would probably cancel the sequel. I don’t think it’s very likely Sony or Microsoft will buy them, so I’m not too worried.
At one time I would have been on the side of people wanting Microsoft to buy Ubisoft. Maybe if they had bought them instead of Activision, but really since the PS5 is my main platform over the Series X, I'd rather just keep Ubisoft games multiplatform so I have the option to play them on my console of choice and I continue to use my Series X as my secondary one.
@Kooky_Daisuke If Take two (18B) bought Zynga (12B), why can't sony (130B) buy Ubisoft (5B)????
@Lavalera Google and Amazon could outbid MS for AB and the ftc wouldn't scrutinize them because they have almost no presence in gaming. I still wonder why they didn't do it.
@KilloWertz How did we end up with fanboys wanting to steal games from one another?
New studios/Buying Independent studios = New games added in gaming.
Buying Publishers = Same games but for less people (Although Bethesda was going to close studios so that one was ok and with Ghostwire and Deathloop they still have to figure out how to sell more).
The only future acquistitions I want are Sony buying Konami, and either MS or Nintendo buying Sega.
If Ubisoft are to be bought, I'd rather see MS and Sony go 50/50 in order to maintain the market.
Of all the big acquisitions, this is the one I couldn't care less about, Assassin's Creed and Farcry are bloated and boring frankly but if someone can take over them and get them out of their awful open world design and tendency to abuse their employees then that can only be a good thing
Okay so I’m pretty sure it’s Sony circling for Ubi but they want to see how the AB deal goes for MS. If it goes through they’ll proceed.
Do it microsoft..
@RevGaming On the Xbox side you have the absence of games like FFVII Remake, FFXVI, Forspoken, Deathloop, Ghostwire Tokyo, etc. due to PS timed exclusivity. Meanwhile on the Playstation side you have Microsoft's constant acquisitions meaning plenty of games aren't coming to PS because Microsoft forces Xbox exclusivity.
So because Microsoft and Sony can't agree to ditch exclusivity and let platforms be judged by true 1st party games (rather than acquired 1st party games) and the ecosystem, you have Xbox and PS players wanting more acquisitions before the other one acquires and blocks games from releasing on their chosen console.
It's a huge shame, the future of gaming would've been a lot brighter if instead of Microsoft's acquisition sprees they bolstered their existing studios instead such that for example Halo Infinite exceeded the height of Halo 3's popularity.
@Grumblevolcano At least with timed exclusivity, the other one can play it.
It seems people forget games like sf5 and ff7 would not have happened at the time they happened without sony. That is another thing of itself.
@RevGaming Yes there are exceptions like Nintendo acquiring Monolith Soft massively benefited the studio and Bayonetta 2/3 wouldn't have been made without Nintendo funding it but big acquisitions like Microsoft acquiring Bethesda and Activision serve only 1 goal and that's to take games away from competing platforms/services.
@Rangers420 I wish fans would stop encouraging buyouts in general, it’s not a pro consumer move, but for some reason fans like to pretend it is.
I would have preferred Microsoft buying Ubisoft then Activision
Wasn't this a thing, a few months back? Didn't ubi say "..we're open to being acquired.." and "..so long as we have the freedom to continue to do what we want.."
So in essence, give us money and leave us alone. I guess you get access to the backlog, etc. Sounds like ubi is getting desperate. It's last call and no one is looking their way.
@Grumblevolcano Bethesda was going to shut down their studios. It could still happen if they keep releasing games like GhostWire and Deathloop, that don't appeal to the masses that much.
I agree with AB.
@RevGaming It probably really started when Microsoft bought Bethesda. A purchase of that magnitude started the rumors of who would be next, and things snowballed from there.
It's one thing to buy small developers like Ninja Theory and Obsidian. It's another to buy two of the largest publishers in the world. I gave them the benefit of the doubt with Bethesda as it was shrewd business, but in the end it probably would have been better it never happened given what followed.
I’d love to see MS buy them but I doubt that will happen. The whole “monopoly” term being thrown around at MS, I think they are going to lay low till the Activision Blizzard acquisition is complete.
I would rather they bough Ubisoft than activision
Just buy the splinter cell ip if they are willing to sell it.
I’m not a fan of consolidation in general but for Ubisoft I hope for some positive change. They’ve become so stagnant. Every game built off the same engine, sharing assets and gameplay ideas. It’s stale and needs a refresh, I don’t see that happening without a large shift.
@CrazyJF Agreed, having the Assassin's Creed games on GP would have added more variety...instead of more shooters. WB Games would have also been interesting for the Lego and Super Hero stuff.
That being said, I've heard MS was really interested in Activision Blizzard's mobile division... personally, I could care less about mobile games but I'm sure they make crazy bank off that.
If you look closer at the numbers, you will come to the conclusion that while Ubisoft looks like a 'bargain' compared to ABK, the productivity at ABK is like 7.5 more than the one at Ubisoft, and on par with the rest of Microsoft. Therefor I think Microsoft is not that terribly interested into getting Ubisoft, 20000 employees with a revenue of 2.4B $ vs 9800 and 8.8B $ with ABK.... imho.
@Rmg0731 I can only agree.
The 343 debacle raises questions about MS's ability to manage teams effectively already, and both Activision Blizzard and Bethusda both need to reverse recent fortunes and start making better games again as it is. Taking on another big corp? No way should they, or would they, do this, imo. But its a weird world and anything can happen!
@Ile Yeah but is having the games day 1 on gamepass enough to justify 100million not getting the game?
And yes. We must go where the games at.
@Ile I think if you buy the console they owe you exclusive games, but from the consumer perspective, idk why gamepass day 1 should make anyone happy while knowing the majority of the console playerbase for those games won't play the games.
It's like. Ha! You can't play these games no more and now I get to rent them for $15. No new games added. Just the same games, for less people, with the inclusion of being able to rent them.
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