Ubisoft establishes subsidiary with investment from China's Tencent, transferring development teams and studios for Assassin's Creed, Far Cry, and Rainbow Six
Ubisoft, a major French game company, announced on March 27, 2025 that it will accept 1.16 billion euros (approximately 189 billion yen) in investment from Chinese IT giant Tencent to establish a new subsidiary. The subsidiary will include existing titles related to the '
Ubisoft announces the creation of a new subsidiary
https://www.globenewswire.com/news-release/2025/03/27/3050885/0/en/Ubisoft-announces-the-creation-of-a-new-subsidiary.html
UBISOFT ACCELERATES ITS TRANSFORMATION BY LAYING FOUNDATION FOR NEW OPERATING MODEL WITH THE CREATION OF A SUBSIDIARY AND INJECTION OF €1.16BN OF CASH FROM SELECTED INVESTOR TENCENT
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Ubisoft's $4 billion carveout sells Tencent a 25 percent stake in some of its biggest games | The Verge
https://www.theverge.com/news/637775/ubisoft-tencent-carveout-assassins-creed-far-cry-tom-clancy
Ubisoft and Tencent are forming a new company that will take control of its most successful franchises: Assassin's Creed, Far Cry, and Rainbow Six | PC Gamer
https://www.pcgamer.com/gaming-industry/ubisoft-and-tencent-are-forming-a-new-company-that-will-take-control-of-its-most-successful-franchises-assassins-creed-far-cry-and-rainbow-six/
In this transaction, Tencent will invest 1.16 billion euros and acquire approximately 25% of the shares in the new subsidiary, which will include Ubisoft's development teams for the Assassin's Creed, Far Cry and Rainbow Six series, new games currently in development or planned for development, and development studios in Montreal, Quebec, Sherbrooke, Saguenay, Barcelona and Sofia.
In addition, in exchange for royalties, the new subsidiary will receive a worldwide, exclusive, perpetual license from Ubisoft to all intellectual property rights owned or licensable by Ubisoft relating to these three titles.
The enterprise value of the subsidiary after the transfer is expected to be approximately 4 billion euros (approximately 650 billion yen), and Ubisoft explained that 'This transfer to the subsidiary will improve the quality of the single-player experience and increase the frequency of content releases to expand the offering of multiplayer content.'
Meanwhile, Ubisoft plans to continue development of the
Ubisoft CEO Yves Guillemot said, 'The creation of a dedicated subsidiary to lead the development of our three largest franchises, and Tencent's investment, will enable us to crystallize asset value, strengthen our balance sheet, and create the best environment for the long-term growth and success of these franchises. Together with our dedicated leadership team, the subsidiary will focus on transforming these three titles into unique ecosystems. We are committed to building a more focused organization where talented teams can take our brands to the next level, accelerate the growth of our emerging franchises, and lead the innovation of next-generation technologies and services, all with the goal of delivering rich, memorable games that exceed player expectations and create superior value for shareholders and other stakeholders.'
'We are pleased to expand our long-standing partnership with Ubisoft through this investment,' said Martin Lau, president of Tencent. 'This investment reflects our confidence in Ubisoft's creative vision and exceptional talent to drive sustained success in the industry. We believe this franchise has great potential to create compelling new experiences for gamers.'
The transaction is expected to be completed by the end of 2025, and the new subsidiary will be headquartered in France. The name of the new subsidiary has not been announced at the time of writing.
Ubisoft's future is uncertain due to the poor performance of its major games and investor distrust in its management structure, and it has been reported that the company will be sold to Tencent in October 2024.
Ubisoft reportedly considering selling itself to China's Tencent, shares soar by more than 30% - GIGAZINE
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