Tencent seeks to increase its share in Ubisoft publishing

Tencent seeks to increase its share in Ubisoft publishing

Tencent Holdings Ltd. intends to increase its share in the French publisher and video game developer Ubisoft Entertainment SA, which is linked to China's IT giant's plans to increase the presence of video games on the global market.

Tencent acquired 5% of Ubisoft shares in 2018, and now has expressed to the founders of the French company, Guillemot Corp SA, its interest in increasing the share. It is not clear what share is involved, but the source notes that Tencent is seeking to become the largest shareholder of Ubisoft. It is clear that at this stage the Chinese company is planning to buy out the share of the Guillaume family, which owns 15% of the French developer's shares.

According to available data, Tencent can offer up to 100 for an action under Ubisoft's securities purchase plan. In 2018, the Chinese company paid Y66 for one security and became the owner of 5% Ubisoft share. The source notes that the details of the upcoming transaction are not yet agreed and may change.

In contrast to Tencent's interest, Ubisoft shares grew by 21% and continued to show positive performance.

According to the source, Tencent will also seek to purchase Ubisoft shares held by private shareholders in order to increase its share and become the largest shareholder of a French company. The latest annual report showed that about 80% of Ubisoft shares are owned by private shareholders.