Vivendi may make full bid for Ubisoft on heels of hostile Gameloft bid garnering shareholder support
Having garnered shareholder support in a hostile bid for Gameloft [EPA:GFT], Vivendi [EPA:VIV] may move on to bid for Ubisoft [EPA: UBI] which is partly owned by Gameloft's founders, a Liberum analyst wrote in a research note cited in a newswire report.
Vivendi controls about 56% of the votes after its offer, AMF, the French market regulator, stated on 2 June. The Bloomberg report noted Vivendi will appoint a majority of the directors on Gameloft’s board at the company’s annual meeting on 29 June.
The report credited Liberum Capital analysts with calling a Ubisoft bid a logical "next step" for Vivendi in a 2 June research note to clients, noting that Vivendi has a balance sheet to handle such a deal, which may come as a "full bid."
Gameloft was founded by Michel Guillemot. The Guillemot family holds 15% share of votes in Ubisoft, whereas Vivendi holds 18% of its capital and is pursuing board representation. The report said that "for now" Vivendi is not seeking control.
Vivendi and Gameloft representatives declined to comment.
Gameloft SE's Chairman and CEO Michel Guillemot is expected to resign in light of shareholders backing Vivendi SA's hostile bid for his video game company, a person familiar with the matter told Bloomberg
The Guillemot family is in talks with financial advisors to find a white night that would protect Ubisoft from a Vivendi takeover, the article noted, citing people familiar with the matter.