With Tencent's investment, Ubisoft delays the announcement of its performance and involves restating the fiscal year 2025 accounts

Ubisoft, the publisher of the Assassin's Creed series, announced that after an auditor's assessment, the company needs to restate its accounts for the fiscal year 2025 and cannot recognize the revenue from a recently signed partnership agreement, which will cause the company to violate loan agreement terms.

Ubisoft stated that the auditor found that the company incorrectly classified partnership sales as revenue under International Financial Reporting Standards, which will lead to the failure to recognize part of the revenue from transactions signed in the second quarter of fiscal year 2026. This adjustment further causes the company to violate loan agreements since September 30. Therefore, Ubisoft will avoid default by repaying approximately €286 million of loan principal in advance, which will be paid after the transaction with Tencent (00700.HK) is completed.

Ubisoft was originally scheduled to announce its half-year results after the market close on November 13 but ultimately announced a delay without providing a reason, and subsequently announced a trading suspension until the results are published. Trading of Ubisoft's stocks and bonds will resume today (21st) at 10 AM Paris time.

In March, Ubisoft established a subsidiary specifically responsible for gaming business, and Tencent will invest €1.16 billion in exchange for a 25% stake in the newly established subsidiary. Ubisoft's CEO Yves Guillemot stated that all transaction conditions have been met and completion is expected soon