Tencent Holdings is raising its stake in Ubisoft Entertainment SA in a deal that values France’s biggest games developer at about $10 billion, as deep-pocketed Chinese tech majors continue their overseas search for growth.
Interest in Ubisoft comes as the world’s largest games firm by revenue counters slowing growth at home with purchases including 16.25% of Japan’s “Elden Ring” developer FromSoftware announced just a week ago – the same time domestic rival NetEase said it would buy French games maker Quantic Dream.
The latest deal makes Tencent Ubisoft’s single biggest shareholder with an overall stake of 11%, which can be further increased to as much as 17%. It also values the maker of the “Assassin’s Creed” and “Tom Clancy’s” video game franchises at $10 billion, or around 80 euros per share, well above Tuesday’s stock price closing level of 43.5 euros.
The move also caps a difficult four-year period at Ubisoft, where there has been a succession of new game delays and sexual harassment allegations that led to a revamp of top management. The firm’s share price dropped in that time from about 100 euros to less than 44 euros on Tuesday.
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
Featured News
T-Mobile’s Acquisition of Ka’ena Corporation Receives FCC Approval
Apr 26, 2024 by
CPI
UK Regulator Announces Two New Senior Executive Appointments
Apr 26, 2024 by
CPI
Paramount Global and Skydance Media Near Merger Deal, Eyeing CEO Change
Apr 26, 2024 by
CPI
BHP Unveils £31bn Mining Megamerger Proposal with Anglo American
Apr 25, 2024 by
nhoch@pymnts.com
ByteDance Prefers Shutdown Over Sale of TikTok Amid US Ban Threats
Apr 25, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Economics of Criminal Antitrust
Apr 19, 2024 by
CPI
Navigating Economic Expert Work in Criminal Antitrust Litigation
Apr 19, 2024 by
CPI
The Increased Importance of Economics in Cartel Cases
Apr 19, 2024 by
CPI
A Law and Economics Analysis of the Antitrust Treatment of Physician Collective Price Agreements
Apr 19, 2024 by
CPI
Information Exchange In Criminal Antitrust Cases: How Economic Testimony Can Tip The Scales
Apr 19, 2024 by
CPI