Things Are Looking up for Ubisoft in the Battle Against Vivendi
Since Vivendi’s hostile takeover of Gameloft last year, Ubisoft has been trying to do what they can to ensure the same doesn’t happen to them. Now, according to the latest press release, the company has taken another approach to pushing Vivendi back.
Up until now Ubisoft has tried to buy back their shares in order to get more of their voting power back, as well as speaking to their investors. Even though Vivendi is on track to offer Ubisoft a bid, it’s known that should the takeover fail, they will move on to a completely different company. Now, Ubisoft has shared that they have taken another step towards freedom from the looming shadow of Vivendi. The Guillemot brothers have recently purchased around 2 million of Ubisoft’s shares, at a cost of approximately $120 million.
This new purchase has given the Guillemot brothers another 1.75% of Ubisoft. Here is the statement about the purchase:
“Ubisoft has been informed that Guillemot Brothers SE and a bank have entered today into an agreement related to the purchase by Guillemot Brothers SE of a maximum number of 2,000,016 shares of Ubisoft representing c. 1.75% of the share capital of Ubisoft.”
Last year Vivendi began it’s takeover of Ubisoft with the purchase of 10% of the companies shares, jumping up to 20% in June 2016. At the end of 2016, the multimedia company held 25.15% of Ubisoft, and 22.92% of its voting rights. French law states that once Vivendi hits 30% of share ownership, they must make a mandatory takeover bid in an attempt to gain a controlling stake in the company. As of April this year, it was said that the French company was nearing their ‘second phase’ of the takeover attempt of Ubisoft.
It would seem that this recent purchase of shares by the Guillemot brothers is a step in the right direction for Ubisoft, pushing Vivendi further away from their end goal. It remains to be seen just how much longer Vivendi, or Ubisoft can hold out, or whether the two companies have reached a dead lock.
What are your thoughts? Do you think Ubisoft will be able to thwart Vivendis attempts to control the company? Let us know in the comments below and keep it locked for updates.