Former 'World Of Warcraft' Team Lead Speculates That Ubisoft Management Team Is Looking To Sell
Former World of Warcraft Team Lead Mark Kern aka Grummz speculates that Ubisoft management is looking to sell after the company confirmed it hired “leading advisors” to review the company’s best options “to extract the best value for stakeholders.”
Ubisoft revealed in a press release “that it has appointed leading advisors to review and pursue various transformational strategic and capitalistic options to extract the best value for stakeholders.”
The company added, “This process will be overseen by the independent members of the Board of Directors. Ubisoft will inform the market in accordance with applicable regulations if and once a transaction materializes.”
Kern reacted to coverage of this press release by Geoff Keighley writing on X, “This means they are looking for an out. Advisors like this determine if the studio should be sold, divisions spun out, or IPs sold.”
This is not at all surprising given back in September 2024 Slovakian investment firm AJ Investments urged Ubisoft to take the company private.
In an open letter to the Board of Directors of Ubisoft, AJ Investments stated, “Take the Company Private for fair price: We urge the Board to consider taking Ubisoft private, with Tencent as a signicant partner and shareholder. Ubisoft as a public company is under ongoing scrutiny to report better and better quarterly results to please investors which may harm strategy going forward and is harming Ubisoft at this time, when they need to think long-term to get new air into their exceptional franchises.”
It added, “If Guillemot and Tencent are not interested in Ubisoft value, we urge the current management not to block any takeover as there are several PE groups that would be interested, based on our research. In the event of offer from a PE group or strategic investor, we urge Guillemot family to accept this bid, when this bid will be for fair price, if this offer won’t be accepted we will sue for a reimbursement of damages.”
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Later in September 2024, AJ Investments doubled down on their call to have Ubisoft sell the company.
Reuters reported the company stated, “We call on the management of Ubisoft to allow the sale of the company to third parties or private equity firms at a fair price.”
Furthermore, Reuters claimed the company had “gathered support from 10% of the French videogame publisher’s shareholders.”
In October 2024, an Ubisoft spokesman appeared to confirm rumors that Ubisoft would be taking the company private.
A report from Bloomberg stated, “The Chinese tech company and Guillemot Brothers Ltd. have been speaking with advisers to help explore ways to stabilize Ubisoft and bolster its value, the people said, asked not to be identified discussing a private matter. One of the possibilities being discussed would involve teaming up to take the company private, according to the people.”
An Ubisoft press release seemingly responded to this report and stated, “Ubisoft has noted recent press speculation regarding potential interests around the Company. It regularly reviews all its strategic options in the interest of its stakeholders and will inform the market if and when appropriate. The Company reiterates that management is currently focused on executing its strategy, centered on two core verticals – Open World Adventures and GaaS-native experiences.”
What do you make of Kern’s speculation that Ubisoft is planning to sell?
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