Tencent and Ubisoft’s Guillemot Family explore new venture to boost company value

Tencent and Ubisoft’s Guillemot family are looking to generate new business using some of Ubisoft's assets to increase the company's value.

As reported by Bloomberg, Tencent and the Guillemot family are deciding which Ubisoft assets to include in a new venture. The deal could let Tencent own a share and gain more control over Ubisoft's IPs, expanding its video game business outside China.

The Guillemot family holds 14% of Ubisoft, while Tencent owns 9.99%. Although no deal has been finalised, Ubisoft shares jumped 4.3% after news of a new venture, marking their largest day-to-day increase in some time.

Figuring out what's next

Earlier this year, Ubisoft hired advisors to explore strategic options, including a potential move to go private and a €200 million cost-cutting restructure. 

Meanwhile, Tencent’s shares dropped 8% last week after being named in a US Department of Defense list of "Chinese military companies." The company has deemed it “clearly a mistake" and that the listing “has no impact" on its business. 

Last year, the company ended the development of its shooter XDefiant and closed three high-cost studios. Ubisoft also recently announced another delay for Assassin's Creed Shadows, which is expected to be released on March 20th, 2025.