Ubisoft Entertainment SA announced on Thursday that it is creating a subsidiary dedicated to its gaming brands Assassin's Creed, Far Cry, and Tom Clancy's Rainbow Six, with the Chinese tech giant Tencent Holdings Ltd. investing €1.16 billion for a minority stake in the new subsidiary.
"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," Ubisoft's CEO Yves Guillemot said.
The French video game publisher stated that Tencent's investment values the new subsidiary at around €4 billion, which would imply an average sales multiple of about 4x from full-year 2023 to 2025.
