Ubisoft Faces Investor Pressure to Sell the Company Amidst Low Share Prices

Ubisoft is facing mounting pressure from investors to consider selling the company as its shares hit a decade-low value. This development comes in the wake of disappointing performance from recent game releases and adjusted financial forecasts.

The catalyst for this situation appears to be the underwhelming reception of Star Wars Outlaws, a title that Ubisoft had high hopes for but which has fallen short of expectations. Despite mixed reviews, the game has only sold one million copies in its first month, a figure that pales in comparison to other recent releases from the company.

In response to these challenges, several strategic decisions have been made. The company has delayed the release of its next major title, Assassin’s Creed Shadows, citing a need for further refinement based on lessons learned from the Star Wars Outlaws launch. Additionally, Ubisoft has revised its financial guidance downward, projecting bookings to fall to around 1.95 billion euros for the fiscal year.

Assassin’s Creed Shadows will now release February 14, 2025. pic.twitter.com/J2ah7kkytW

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These setbacks have not gone unnoticed by investors. AJ Investments, an activist investor holding a small stake in Ubisoft, has reportedly garnered support from shareholders representing 10% of the company to push for a sale. The investor group is advocating for Ubisoft to explore selling itself to private equity firms or to Tencent, the Chinese gaming giant.

The current situation reflects broader challenges in the gaming industry, including market saturation, high game prices, and economic pressures affecting consumer spending. Ubisoft CEO Yves Guillemot acknowledged these difficulties, stating that “delivering solid quality is no longer enough” in today’s competitive landscape.

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