Vivendi Postponed Hostile Takeover Of Ubisoft For At Least 6 Months
French media titan Vivendi has been trying to take over Ubisoft for some time now but now the company is going to postpone its efforts. Ubisoft can rest easy for now. Vivendi was purchasing Ubisoft share in order to take over the company but that has been put on pause for now. As of June Vivendi held 26.87% of Ubisoft shares and 24.47% of voting rights.
The French titan’s stake in Ubisoft could double this month and according to French Florange law, this would force Vivendi to make a public bid. Analysts have predicted that the offer to acquire Ubisoft could be for $6 Billion.
While Vivendi is capable of paying that sum, it is good news for Ubisoft that the company will not be making any further efforts in order to take over Ubisoft, at least for the next 6 months. According to Vivendi earning filing:
“Vivendi’s investments in video games are generating value. Gameloft is the worldwide leader in mobile gaming downloads. The current unrealized capital gain on the Ubisoft investment is more than €1 billion. Given that this sector is the second largest in the content industry after music, the Group confirms its intention to continue to develop in this sector,”
Furthermore, we have the part concerning Ubisoft and the following is what you need to read:
“Nevertheless, concerning Ubisoft, in anticipation of the receipt of double voting rights on its Ubisoft shares on November 23, 2017, Vivendi states that in the next six months: it does not intend to file a public tender offer for Ubisoft shares nor to acquire control of the company. To this end, Vivendi will ensure that its interest in Ubisoft will not exceed the threshold of 30% through the doubling of its voting rights.”
Ubisoft CEO talked about the PS5 and when it will be coming out and you can read abou that here. You can also check out how well AC: Origins performed in terms of sales as compared to the previous game in the franchise.
Although Ubisoft is safe for now, it will be interesting to see how all this plays out. For more news stay tuned to SegmentNext.