Reportedly the Chinese tech giant Tencent and the Guillemot Family of Ubisoft are planning on buying the Ubisoft. Apparently, it happened after it was revealed that Ubisoft’s market value had dropped by half this year.
It is under discussion whether to make Ubisoft private or sell to an investor.
It was reported that Tencent is considering the acquisition of the company which has resulted in concerns and discussions in the community. Multiple Ubisoft games have performed poorly this year. The poor performance of the game has resulted in the company losing more than half of its market value.
Many are anticipating changes in the company in case the buyout is successful. Rumors regarding the reduction of work by 30% to 40% are already in circulation. Ubisoft has already laid off some staff in their US office in August.
The discussions were further prompted by the monetization director Stevy Chessard, who showed concerns about the backlash of gamers. He pointed out that social media can be used to project hate. He said that the gaming industry has been going through a rough time. Stevy Chessard said that experiencing this much negativity from players is hard to take. These statements did not set well with many players who called them gamer-blaming statements.
The Buyout
After the reports of buyouts started to circulate, Ubisoft saw a positive change in their shares which increased by 33%. This is the highest gain for the company since its founding. At the time of this writing, Tencent holds a 9.99% stake while the Guillemot family holds a 14% stake.
Tencent’s acquisition of Ubisoft is a big moment for the company. The two options currently in the discussion are to make the company private or sell it to an investor.
For now, all of it is just rumors so take everything with a grain of salt. We have to wait and see because this can be a major point for the gaming industry.
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