Ubisoft likely to be a next big acquisition

[the-pi-guy]

Kotaku sources: senior current and former Ubisoft developers suggest that the company could be preparing a possible sale

Mentioned factors
- no Guillemot left to take over
- on-going workplace controversy
- senior devs leaving
- big projects strugglinghttps://t.co/uh3IwyLXWS pic.twitter.com/5Q7LrHYMMc

— Nibel (@Nibellion) April 23, 2022

Private equity firms could be beginning to circle over Ubisoft, Bloomberg reported Friday. Talks are early, but include interest from firms like Blackstone Inc. and KKR & Co. Even if it's not private equity, senior current and former Ubisoft developers Kotaku has spoken with in recent months believe the company will eventually sell to someone amid a flagging stock price and ongoing production struggles.

Bloomberg reports that Blackstone and KKR & Co., the two biggest private equity firms in the world, have been "studying the French business," and have "preliminary takeover interest" in Ubisoft, but that the company hasn't yet entered into "any serious negotiations with potential acquirers."

[the-pi-guy]

This could be a scarier acquisition for game developers. Ubisoft is huge, they hire more developers than Xbox and Activision combined.

They're losing money and whoever acquires them is likely to restructure. It isn't impossible for some 10,000 people (like all of Activision) to lose their job if the wrong company takes over.

[kitler53]

in the current market aquiring people is as important as IP.  I doubt we'd see mass layoffs.  

lots of restructuring though. 

[the-pi-guy]

in the current market aquiring people is as important as IP.  I doubt we'd see mass layoffs.  

lots of restructuring though.

If a game publisher like Sony/MS/Tencent/etc acquired them, layoffs would be unlikely I think.  

But if someone else acquires them, and they're just looking for a low risk investment, I could see them shrinking.

[Legend]

I hope not. Ubisoft regularly produces some of my favorite games and while something definitely needs to change, I'm wary of outside owners pushing them in the wrong direction.