Ubisoft has announced the completion of Tencent's €1.16 billion investment in Vantage Studios, the division responsible for the Assassin's Creed, Far Cry and Rainbow Six franchises.
Vantage Studios entered service October 1and includes Ubisoft offices in Montreal, Quebec City, Sherbrooke, Saguenay, Barcelona and Sofia, with a total of 2,300 employees. Following the completion of the deal, Tencent now owns a 26.32% stake in Vantage Studios, which remains controlled by Ubisoft.
In a press statement, Ubisoft said Vantage Studios has a “preliminary enterprise value of €3.8 billion” and CEO Yves Guillemot called the deal a major milestone. “Today’s closing crystallizes the value of our world-class IP and marks a turning point in Ubisoft’s ongoing transformation,” he said. “It will also generate revenue of €1.16 billion, which will deleverage the Group, strengthen our balance sheet and support selected investment opportunities in the rest of the company.
“Vantage Studios, fully operational since October 1st under the leadership of a dedicated leadership team, embodies the principles of autonomy, focus and player-centricity, with clear accountability. She brings to life our Creative Houses model with the ambition to accelerate the growth of our flagship franchises on their way to becoming billion-euro annual brands.”
Martin Lau, President of Tencent, said: “Tencent is pleased to strengthen our strong relationship with Ubisoft through its investment in the launch of Vantage Studios. With a capable team and world-class creative vision, we look forward to Vantage Studios accelerating the growth of Assassins Creed, Far Cry and Rainbow Six as evergreen platforms providing entertainment and inspiration to generations of gamers.”
In his last financial resultsannounced ahead of the completion of the deal with Tencent, Ubisoft reported net debt of 1.15 billion euros.
