EA Prepares Hostile Takeover of Ubisoft

Yeah read that again. According to a Senior Editor at IGN this is about to happen a lot sooner rather than later. Details are extremely sketchy at this point but something is happening behind the scenes and it appears EA is going to complete a takeover of Ubisoft by force since Ubisoft won’t come quietly. EA currently has roughly a 20% stake in Ubisoft for those wondering.

Electronic Arts has raised its holding of voting shares in Ubisoft to nearly 25 percent, according to reports from French stock market regulator AMF.

First reported on Forbes.com Wednesday morning, the increase gives EA 24.86 percent of Ubisoft’s voting shares.

In December 2004, EA bought a 20-percent block of the French game maker, a move considered hostile by Ubisoft at the time.

EA’s previously held 18.4 % of the voting rights against 22.8 % held by Ubisoft’s founders.

Calls and emails to EA and Ubisoft requesting comment about the development were not immediately returned Wednesday morning.

According to the Forbes report, EA said it reserves the right to raise its stake in Ubisoft over the next year, but it has no plans to seek to nominate board members, but could do so if the are any major changes in Ubisoft’s situation.

So now EA has a roughly 25% stake in the corporation. Pretty worrisome news.

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