Game publisher Ubisoft prepares for potential buyout

Jan. 9 (UPI) -- A potential buyout by a majority of Ubisoft's investors has officials for the French game publisher looking for ways to maximize value for shareholders.

"We made good progress on the strategic and execution reviews initiated a few months ago and are confident that this will position Ubisoft for a stronger future," Ubisoft co-founder and Chief Executive Officer Yves Guillemot said Thursday in a news release.

"We have taken decisive steps to reshape the group in order to deliver best-in-class player experiences, enhance operational efficiency and maximize value creation," Guillemot added.

Ubisoft has hired advisers to seek ways to improve its value through "transformational strategic and capitalistic option" to ensure the best potential return for current investors, CNBC reported.

"We are convinced that there are several potential paths to generate value from Ubisoft's assets and franchises," Ubisoft officials said.

"The company will continue to drive significant cost reductions, together with a highly selective approach to investments, and now expects to exceed €200 million of its fixed cost base" by fiscal year 2025-2026, they added.

Ubisoft recently discontinued its XDefiant video game and closed three of its production studios to trim costs while enhancing the firm's value for a potential sale.

Ubisoft also is focusing on improving gaming experiences for consumers by improving the quality of gameplay.

It recently extended development of its Assassin's Creed Shadows game platform and delayed its release until March 20.

The additional time enables game developers to "better incorporate the player feedback gathered over the past three months and help create the best conditions for launch by continuing to engage closely with the increasingly positive Assassin's Creed community," Ubisoft officials said.

Ubisoft posted lower-than-expected holiday sales of its Star Wars Outlaws and the discontinued XDefiant games, but company officials anticipate breaking even for the 2024-2025 fiscal year.

"Net bookings are now expected to come in at around €1.9 billion and include new partnership opportunities for Ubisoft's games and franchises," Ubisoft officials said.

Company officials also anticipate improving its monetization from streaming rights.