Ubisoft is forming with Tencent a new subsidiary based on its three most popular franchises, as rumored in the past few months.
The new subsidiary, in which Tencent is investing 1.16 billion euros for a 25% minority stake, is based on the Assassin's Creed, Far Cry, and Tom Clancy's Rainbow Six brands and will include the development teams of all three series based in Montréal, Quebec, Sherbrooke, Saguenay, Barcelona, and Sofia as well as the back-catalog and any new games currently under development or to be developed. In regard to its relationship with Ubisoft, the new subsidiary will be granted by the publisher a worldwide, exclusive, irrevocable license in respect of the intellectual property and similar proprietary rights owned or licensable by Ubisoft in relation to the three brands in exchange for a royalty.
Yves Guillemot, Ubisoft Co-Founder and Chief Executive Officer, commented on the creation of the new subsidiary, saying: “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. With its dedicated and autonomous leadership team, it will focus on transforming these three brands into unique ecosystems.”
Martin Lau, President of Tencent, also commented on the new subsidiary formed with Ubisoft, saying: "We are excited to extend our longstanding partnership with Ubisoft through this investment, which reflects our continued confidence in Ubisoft’s creative vision and exceptional talent to drive sustained success in the industry. We see the immense potential for these franchises to evolve into long-term evergreen game platforms and create engaging new experiences for gamers."
More information on the newly formed subsidiary that will essentially control Ubisoft's three most popular franchises can be found here.
About the author: Francesco De Meo has been covering video games and technology since 2012, starting his career at small outlets like Gamersyndrome and GeekSnack. After joining Wccftech gaming section in 2015, he quickly expanded his video gaming coverage with in-depth reporting, interviews with iconic industry figures such as Grasshopper Manufacture founder and No More Heroes creator Goichi "Suda51" Suda, Resident Evil series creator Shinji Mikami, Team NINJA's president and Nioh series director Fumihiko Yasuda, and Silent Hill creator Keiichiro Toyama, reviews and on-the-ground coverage of major industry events such as Gamescom and E3. When he's not reporting or reviewing, Francesco can be found playing the genres he loves most, spending time with his six cats, reading, writing music, playing guitar and drumming for his progressive rock band.
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