Vivendi Raises Its Stake in Ubisoft -- Update
June 17 2016 - 12:16PM
Dow Jones News
By Nick Kostov
Vivendi SA increased the pressure on videogame company Ubisoft
Entertainment SA, adding to its stake and saying that it intends to
continue buying more, according to a regulatory filing on
Friday.
Vivendi, the French media company led by billionaire Vincent
Bolloré, acquired stock giving it 20.1% ownership in Ubisoft, up
from 17.7% previously. It added that it doesn't plan to make a bid
or take control of the company for the next six months.
"Vivendi continues to hope for the establishment of a fruitful
collaboration with Ubisoft," the company said in the statement.
Ubisoft, which is known for franchises such as "Assassin's
Creed," has been hostile to Vivendi's stake-building for months,
saying that Vivendi doesn't know the videogame business and would
destroy shareholder value.
On Friday, Vivendi repeated in the filing that it was
considering asking for board representation at Ubisoft to reflect
its shareholder position. A spokesman for Ubisoft said the
company's management remained determined to keep its
independence.
Mr. Bolloré's latest move is part of a battle with the Guillemot
brothers who founded and run two French videogame companies:
Ubisoft and Gameloft SE. Vivendi last month prevailed in its
efforts to gain control of Gameloft, a company that has had success
making games for mobile such as "Despicable Me: Minion Rush" and
"Dragon Mania Legends". Investors meanwhile have sent shares of
Ubisoft up 18% in the past three months, with some betting that it
too would eventually be taken over.
Write to Nick Kostov at Nick.Kostov@wsj.com
(END) Dow Jones Newswires
June 17, 2016 13:01 ET (17:01 GMT)
Copyright (c) 2016 Dow Jones & Company, Inc.
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