Is Ubisoft’s Search for Major Investors in Assassin’s Creed: Shadows and Spin-Offs Coming Too Late?

Ubisoft is currently on the lookout for investors to back a new business initiative that plans to showcase some of its most popular franchises, including the famed Assassin’s Creed series. This comes from a detailed report by Bloomberg, drawing insights from individuals closely connected to the development.

According to Bloomberg, the renowned French gaming company aims to invite bids for this new project by the month’s end. They are specifically looking to offer a minority stake in this venture and, intriguingly, one of the potential bidders is Tencent. Tencent already owns a 9.99% stake in Ubisoft and has been a prominent figure in previous discussions about Ubisoft’s strategic directions.

In the coverage by Bloomberg’s Dong Cao, Vinicy Chan, and Benoit Berthelot, it’s suggested that Ubisoft is eyeing a valuation for this initiative that could surpass the value of the main company, as per insider information. However, they also caution that discussions are still ongoing and nothing is set in stone yet.

When Bloomberg sought a comment from Ubisoft, the response highlighted the company’s quarterly earnings and included a statement mentioning a “review of various transformational strategic and capitalistic options” to optimize the value derived from Ubisoft’s assets and franchises. Tencent, on the other hand, chose not to comment on the matter.

If this information holds true, and considering it is coming from Bloomberg known for its reliability in such matters, Ubisoft is indeed making an audacious move. By pooling its highly successful franchises into a new entity, it appears to be segregating its most successful assets, thus creating a more enticing prospect for outside investors.

This approach could also serve as a strategy to distance its valuable IPs from some of its contentious past issues. Recently, there has been some legal drama involving former Ubisoft executives accused of misconduct towards employees, with their case continuing in June. By setting up a new business entity, Ubisoft might shield its premier franchises from these past controversies, potentially making the investment opportunity more attractive.

Moreover, the release of Assassin’s Creed: Shadows could play a crucial role in these business antics. The game’s performance, both in terms of critical acclaim and commercial success, will likely influence Ubisoft’s trajectory moving forward. Given that Assassin’s Creed is purportedly part of this new business plan, its success or failure has never been more critical.

As Assassin’s Creed: Shadows debuts on March 20, it won’t be too long before we witness its impact on Ubisoft’s broader business strategy this year.