Ubisoft is reportedly talking to Tencent about a new joint effort to manage major franchises like Assassin’s Creed.

A Bloomberg report indicates that Ubisoft, facing financial struggles, is discussing a potential deal with Tencent to obtain investors for a new entity that would control some of its key gaming assets, including Assassin’s Creed. They are reaching out to interested investors, with Tencent being among those considered for a minority stake.

The situation is fluid, with no agreements finalized. However, there are plans for Jedi potential investors to submit bids by the end of the month, and Ubisoft may aim for a higher valuation for this new entity than the current worth of Ubisoft itself.

This undertaking continues an earlier strategy noted in previous discussions of a joint venture between Ubisoft and Tencent. While Tencent is already Ubisoft’s second-largest shareholder, the company’s founding family, the Guillemots, retain significant control and wish to maintain that.

“The review of various transformational strategic and capital-raising options is ongoing,” a representative stated, explaining that a committee has been organized to maximize asset value for stakeholders.

Given Ubisoft’s challenges, including diminishing share prices and underperforming releases, such as Star Wars: Outlaws and XDefiant, finding a partner like Tencent could be crucial.