Ubisoft has announced a new subsidiary that will focus on their Assassin’s Creed, Far Cry, and Tom Clancy’s Rainbow Six brands, via a minority stake investment of €1.16 billion from Tencent.
The new subsidiary and subsequent investment from Tencent comes after months of planning and selection from Ubisoft internally with a focus on the future of the company, as announced earlier this year.
The new Ubisoft subsidiary will focus on focus on “building game ecosystems designed to become truly evergreen and multi-platform” while driving an increase in quality of “narrative solo experiences, expand multiplayer offerings with increased frequency of content release, introduce free-to-play touchpoints, and integrate more social features.”
Alongside the new investment and plans, Ubisoft will focus on nurturing the development of iconic franchises including Tom Clancy’s Ghost Recon and The Division while “accelerating the growth of top performing titles and leveraging disruptive technologies on selected new IPs” and delivering “state-of-the-art production game engines and online services.”
“Today Ubisoft is opening a new chapter in its history,” said, Yves Guillemot, Ubisoft Co-Founder and Chief Executive Officer. “As we accelerate the company’s transformation, this is a foundational step in changing Ubisoft’s operating model that will enable us to be both agile and ambitious. We are focused on building strong game ecosystems designed to become evergreen, growing high-performing brands and creating new IPs powered by cutting-edge and emerging technologies.
“With the creation of a dedicated subsidiary that will spearhead development for three of our largest franchises and the onboarding of Tencent as a minority investor, we are crystalizing the value of our assets, strengthening our balance sheet, and creating the best conditions for these franchises’ long-term growth and success. With its dedicated and autonomous leadership team, it will focus on transforming these three brands into unique ecosystems.”
Guillemot concluded, “We are committed to building a sharper, more focused organization-one where talented teams will take our brands to the next level, accelerate the growth of emerging franchises, and lead innovation in next-generation technologies and services, all with the goal of delivering enriching, memorable games that exceed players’ expectations, and create superior value for our shareholders and other stakeholders.”
Martin Lau, President of Tencent, added, “We are excited to extend our longstanding partnership with Ubisoft through this investment, which reflects our continued confidence in Ubisoft’s creative vision and exceptional talent to drive sustained success in the industry. We see the immense potential for these franchises to evolve into long-term evergreen game platforms and create engaging new experiences for gamers.”
