Ubisoft Buyout Talks Stall Due to Control Dispute Between Tencent and Guillemot Family

Negotiations are ongoing between Ubisoft's major shareholders regarding a potential buyout to take the company private, but disagreements over control are hindering progress. According to sources, the Guillemot family, who founded and currently lead Ubisoft, wants to preserve its existing control after the potential deal. However, Tencent is hesitant to participate in the buyout and increase its stake unless it is guaranteed more influence over future board decisions. The discussions aim to prevent a hostile takeover by another investor, with Tencent reportedly waiting for the Guillemot family to agree to its terms. The potential buyout talks started after Ubisoft faced financial setbacks, including the underperformance of Star Wars Outlaws, prompting a minority shareholder to suggest the company go private. Ubisoft has also been restructuring, including downsizing and delaying game releases, such as Assassin's Creed Shadows.