Vivendi Sold Its Last Ubisoft Shares But Promised It Will Strengthen Its Position In The Video Gaming Sector

Vivendi Sold Its Last Ubisoft Shares But Promised It Will Strengthen Its Position In The Video Gaming Sector

Vivendi Sold Its Last Ubisoft Shares But Promised It Will Strengthen Its Position In The Video Gaming Sector

Vivendi Sold Its Last Ubisoft Shares But Promised It Will Strengthen Its Position In The Video Gaming Sector

Vivendi, a French media conglomerate has sold the last leg of its Ubisoft shares, and it completes the deal that started last year. The conglomerate once owned more than 25% of the company.

Tencent purchased some of the shares. Ubisoft reported it collaborated with Tencent so they can bring their titles in the Chinese market.

The focus of Vivendi as a company is digital entertainment. It owns Canal + Group, a French TV channel. It also owns Dailymotion, Gameloft, Editis, and Universal Music Group.

Vivendi had a successful takeover of the world’s biggest mobile gaming publisher in Gameloft, and they made the deal in July 2016. Gameloft stated their games had been downloaded over 1 billion times in 2016.

Vivendi’s not a Ubisoft shareholder anymore, and it is commitment at not buying Ubisoft shares in five years. The situation is different now because a year ago, the company is eager to buy shares from Ubisoft even if its CEO and publisher didn’t like the deal.

Ubisoft wanted the deal too, but it’s unlikely now. Yves Guillemot, the co-founder and CEO of Vivendi don’t want anything to do with Ubisoft that it pleaded to the government of Canada to stop it. Instead, there’s an arrangement where Vivendi would sell its 30,489,300 shares, and it’s for $81 each. The deal will profit the company for $1.2 billion, and the total gain would be $2 billion.

This is not the end of the ambitions of Vivendi of taking over the game industry. When it took control of Gameloft, it’s a sign that its position in the video gaming sector will continue to strengthen.

Even if Vivendi wasn’t successful in its attempts at becoming a major shareholder of Ubisoft, it brought $2.26 billion from the stock’s total sales, and it equaled a capital profit of $1.35 billion. Vivendi has confirmed its intention that it will look for other ways to remain a global name in the video gaming sector.

Ubisoft Entertainment is a video game company based in Montreuil France. It is a popular gaming publisher, which is responsible for highly-acclaimed video game franchises such as Tom Clancy’s, Raving Rabbids, Prince of Persia, Just Dance, Rayman, Far Cry, and Assassin’s Creed.

In March 2018, the company was the 4th biggest publicly traded video game company in Europe and America in terms of market capitalization and revenue. The company is only behind after Take-Two Interactive, Electronic Arts, and Activision Blizzard.

Since 2017, Vivendi has been hunting to buy shares so it can expand its media properties. Ubisoft was the first company to be targeted by Vivendi.