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HomeTechIt is said that Tencent will concentrate on “buying majority stakes mostly in overseas gaming companies.”
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It is said that Tencent will concentrate on “buying majority stakes mostly in overseas gaming companies.”

The largest shareholder in Ubisoft is now Tencent.

 

According to reports, Tencent is changing its M&A approach to “aggressively” concentrate on “purchasing majority holdings primarily in global gaming companies.”

 

According to Reuters, Tencent’s efforts to combat the slowing growth in its native China are partially responsible for this adjustment.

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With this new push, Tencent would want to possess majority or “even controlling stakes” in businesses outside of China. Previously, as a passive financial investor, Tencent has focused on acquiring minority stakes in gaming companies. Additionally, according to four sources with knowledge of the situation, it may focus exclusively on “gaming assets in Europe.”

 

Tencent, the “world’s top gaming firm by revenue,” is also considering firms that are engaged in the metaverse industry.

 

As part of this strategy, Tencent reportedly wanted to increase its present 5% stake in Ubisoft, the developer of Assassin’s Creed, Rainbow Six Siege, Far Cry, and other games, and become the company’s largest shareholder. It increased its shareholding to 11% at the start of September.

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This revelation also comes at a time when there have been many significant purchases, like Microsoft’s $68.7 billion purchase of Activision Blizzard and Sony’s $3.6 billion acquisition of Bungie.

Jennifer Carrasco

Jennifer Carrasco is a Senior Journalist at Flaunt Weekly Covering Business Topics.

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