Ubisoft says it’s open to acquiring other game companies

Ubisoft has said it’s actively exploring the market for mergers and acquisitions (M&A) opportunities.

During the Q&A section of the publisher’s full-year earnings call on Thursday, an analyst suggested some game companies might be struggling in the current economic climate, particularly if they don’t have a back catalogue of live service titles, before asking if Ubisoft thinks the likelihood of M&A has increased.

“We are studying carefully the market these days and if there are opportunities we will take them,” Ubisoft CEO Yves Guillemot responded.

“At the same time we have also to tackle these new challenges so it’s taking a little bit of our time.

“For sure, we’ll look at it carefully,” he added.

Providing its main balance sheet items on Thursday, Ubisoft said it has access to long-term financing of €1 billion ($1.08b), plus a €300 million revolving credit facility if required.

It also said the impact of the coronavirus has had a limited impact on its development schedule to date, although Guillemot reiterated product delays aren’t out of the question.

At present, production schedules have only been delayed by a matter of weeks following the switch to remote working.

Ubisoft plans to release five AAA games (Assassin’s Creed Valhalla, an unannounced title, and the previously delayed Watch Dogs Legion, Gods & Monsters and Rainbow Six Quarantine) during the current fiscal year ending in March 2021.

It said three games, including Assassin’s Creed Valhalla, will be released during the third quarter ending in December 2020, and two in the fourth quarter.

“The coming months will provide more visibility on whether we can maintain our release plans,” Guillemot said on Thursday.

The company’s chief financial officer, Frédérick Duguet, also revealed that Assassin’s Creed Valhalla set records for a Ubisoft game reveal, including 100 million trailer views in 10 days.

Ubisoft announced this week that it will host an “E3-style” digital games showcase on Sunday July 12.