After reaching 11-year lows last week, Ubisoft stock prices have soared amid rumors of a potential buyout involving Tencent.
Almost immediately after the report on the talks broke, Ubisoft shares rose from €10.77 to €14.07 within an hour. As of writing, the shares sit at €13.70, a 28.9% increase for the day.
In the United States, the jump was about the same percentage wise. It rose from $2.32 to $3.09 within 45 minutes. It has since fallen back to $2.98, a 28.8% increase, as of writing.
Overall, shares are still down 11% and 14% in France and the United States this month, respectively. They also remain down 42% year to date. So, while the increase is good for shareholders, it’s still a far cry — pun intended — from where it was earlier this year.
Inside the company, Ubisoft is continuing to look for answers after a number of recent struggles. Star Wars Outlaws struggled to sell 1 million copies in its first month while its free-to-play first-person shooter XDefiant is having problems keeping players.
While a potential buyout and going private is a possibility, it’s worth noting that nothing has been finalized.
What do you make of the entire situation surrounding Ubisoft, including the recent stock prices? Let us know in the comments, and join the discussion in the official Insider Gaming Forums.
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Weird move by Tencent Ubisoft has nothing really it would be a waste of billions. Tencent should fully acquire Epic instead offer to buyout Sweeney. Epic is worth the billions dump whatever they have in Ubisoft.
Tencent is extremely inhumane and xenophobic I don’t they they’d allow Ubisoft to make certain games anymore. They’re destroying Riot for not meeting expectations this will mean more cutbacks on all their studios which is most of the industry.
The EU and UK scrutinized the ABK Microsoft deal but will let this slide? That should be a wake up call to pull out of those markets they’re bias to their own native businesses. Meta faced the same thing they made them sell off sone assets. If the SEC and FTC allow this Microsoft needs to make changes, Apple and other tech companies too they need someone else to fight for them and that’s Trump and his pro business regime. WBD wants that too because they want to sell off to a bigger company and the current regulators won’t allow it.
More buyouts on the way heard Microsoft is on the hunt for another big publisher EA or Take Two and Savvy is eyeing Capcom. Square Enix might want to panic with this since I don’t think anyone is looking at them, maybe Nintendo shells out for them just to get the IP especially Mario RPG characters back. Sony might look to get out of gaming and dump Hollywood too. WB should be more concerned if Tencent does this that’s the only buyer looking at their gaming division they might want to start talking to Skydance about a complete buyout or Netflix to offload the entire company. Amazon has been sitting for a while still not making any moves and Apple and Disney have talked, Apple buying Disney is a contingency which is closer to happening. Comcast could consider offloading NBC Universal to Amazon they were also eyeing Ubisoft but should this happen they might just want to get out of entertainment because acquiring EA won’t really help their business another company they looked at acquiring 50% in through selling NBC Universal to.
I’d rather Tencent buys Epic they could support it better. Ubisoft just sucks no amount of money fixes them.
Tencent has money to burn I guess. Epic Games would be a better move and WB Games for the price of Ubisoft. They should buy out Valiant Comics too give the WB Games studios IP to work on. The characters could show up in Fortnite be huge.
The Guillemot’s won’t budge watch Tencent will walk and Tim Sweeney will be open to selling if they offer him the cash instead. Epic is worth it not Ubisoft if Comcast or Amazon is serious about gaming they’re naive enough to buy Ubisoft under the deal to keep the Guillemots, Annapurna is another name since Larry Ellison has the money and already helped his son buy Paramount now he can help his daughter who lost her gaming division.
This will be the end of Riot Games also I’ve heard NetEase might splurge on CD Projekt.
Microsoft is buying Take Two Interactive the deal might be announced next year this has to allow it to happen if this faces no scrutiny then no regulator can block that and Microsoft wants out of consoles they only want to sell software. Having 2K and Rockstar release day and date on Game Pass will help the service grow the 2K titles especially should be Game Pass titles.
Tencent should buy Valiant Comics first to have IP for Ubisoft to work on.