Last week, Ubisoft announced it would be forming a new subsidiary with Tencent, valued at approximately $4.3 billion. As a part of this deal, Tencent will be investing roughly $1.2 billion for a 25% stake. This new subsidiary will oversee some of Ubisoft’s valuable IPs, such as Assassin’s Creed, Far Cry, and Rainbow Six. Shortly after this deal was announced, Ubisoft’s stocks witnessed a rough 11% increase.
Unfortunately, a sharp double-digit dip has been observed once again, and racists are convinced that this is because of Assassin’s Creed Shadows. The game gained a lot of attention after people on social media criticized Ubisoft for featuring a black samurai protagonist instead of an indigenous Japanese one. Since Assassin’s Creed Shadows‘ release, Ubisoft’s stock has dropped by roughly 20%, but the game might not be the only reason behind this drop.
Ubisoft’s stock witnesses a massive dip after the release of Assassin’s Creed Shadows
People on social media have put a spotlight on the massive dip in Ubisoft’s stock shortly after the release of Assassin’s Creed Shadows. This decline has given racists the opportunity to blame Ubisoft for its decision to include a black samurai in the latest Assassin’s Creed installment.
You have no idea how happy seeing that red line go down makes me pic.twitter.com/UwtoGasn8O
— Rock solid (@ShitpostRock) April 1, 2025
Shadows had a solid start, but it was just not enough to keep the company afloat. However, the dip in Ubisoft’s stock is not just because of this game. All of Ubisoft’s recent AAA titles have failed to hit their target sales. A few months ago, Guillemot Brothers Limited, a shareholder of Ubisoft, along with Tencent, were considering options, including a potential buyout of Ubisoft.
Assassin’s Creed Shadows was delayed twice as the developers needed more time to polish things. The game was worth the wait, but it is hard to tell if it will be able to meet its sales expectations. It’s clear that things are not going well behind the scenes, but Ubisoft has come up with a plan to save itself.
Ubisoft is forming a new subsidiary with Tencent
In an official statement, Ubisoft revealed that it will be forming a dedicated subsidiary based on its Assassin’s Creed, Far Cry, and Tom Clancy’s Rainbow Six franchises. Tencent will be investing €1.16 billion (roughly $1.2 billion) for a minority stake in this new subsidiary. Unfortunately, the surge in its stock price that was observed after this deal’s announcement has disappeared now, leaving everyone concerned about the company’s future.
Ubisoft employees, especially those who are not working on the aforementioned franchises, are worried that they will be caught up in a layoff wave. The concern is understandable, as Ubisoft’s stock price is currently the lowest it has been in the past five months, completely erasing the surge it witnessed in October 2024.
This post belongs to FandomWire and first appeared on FandomWire
