Investors DEMANDING Ubisoft Renegotiate Tencent Deal!

Ubisoft Is Falling Apart – Investor Revolt Could Shatter the Company’s Future

Ubisoft is on the verge of complete collapse, not that this is news to anyone these days, but the latest investor backlash coming through with info from Insider Gaming may be the final blow.

In a bombshell open letter discovered coming from minority shareholder AJ Investments, backed by a growing coalition of angry investors, demands have been put together saying basically that Ubisoft has to renegotiate its controversial deal with Tencent and hold an Extraordinary General Meeting (EGM). The message to everyone is loud and clear: shareholders are PISSED. They've had enough of secretive backroom deals that erode trust and tank the company’s value. They have wised up to the Guillemot family owning Ubisoft taking advantage of everyone.

The core of the outrage stems directly from Ubisoft’s recent decision to transfer three of its most valuable franchises—Assassin’s Creed, Far Cry, and Rainbow Six Siege—into a newly created subsidiary ...only to sell 25% of that entity to Tencent for €1.16 billion. That deal implied a €4 billion valuation, yet shareholders have no clarity on how they’re supposed to benefit. In fact, since the announcement, Ubisoft’s stock has plummeted 24%, a sign of the market’s total rejection of the plan. Something tells me that Ubisoft isn't valued anywhere close to 4 Billion dollars at this point in time, and I actually touched on that in a previous livestream. The deal and money involved seemed... a bit off, to put it nicely.

Investors are calling it what it is: a straight-up shady maneuver designed to entrench control by the Guillemot family, who now hold less than 10% of the company’s economic interest, while at the same time, avoiding those pesky mandatory public offer rules. In other words, it’s a power grab disguised as a partnership—and it’s backfiring spectacularly.

Per Insider Gaming, AJ Investments is demanding two major changes:

1. Renegotiate the Tencent Deal into a straightforward asset sale worth no less than €4 billion.

2. Distribute a €3 billion dividend to shareholders, amounting to €23 per share in cash—more than double the current share price.

If Ubisoft refuses to act, legal proceedings in France are already underway to force the company’s hand. The investor group also demands that Tencent be barred from voting due to the very obvious conflict of interest going on here, and seeks to limit the voting power of Guillemot Brothers Holding... All of which, makes sense to me.

This isn’t just a disgruntled minority making noise—this is a full-blown crisis and Ubisoft is about to go in full tilt panic mode. The trust in Ubisoft’s leadership is eroding rapidly, and that's IF there's any trust left to begin with. As this legal challenge undoubtably gains momentum, it could force a massive restructuring or even a breakup of the company as we know it. The Tencent deal may actually crumble.

Ubisoft has already been in hot water over failed projects, creative stagnation, and bloated live-service strategies. But now? With shareholders rising up and the market revolting, Ubisoft isn’t just in trouble—it’s on the edge of implosion!

Unless leadership acts fast to restore transparency and shareholder value, this Tencent deal could be the moment everything falls apart... and I'm here for it, with my popcorn and a front row seat to the unstoppable ongoing drama.

~Smash