Game publisher Electronic Arts is selling its stock in Ubisoft, six years after purchasing nearly 20 percent of the company. How much they're selling isn't known: An Ubisoft spokesman would not confirm reports EA was selling its current 14.8 percent stake, although Reuter's source said EA has given a mandate to sell its entire stake.
"Electronic Arts was seen as a natural bidder for Ubisoft, though a lot of people had given up with this idea a long time ago," said a Paris-based trader quoted by Reuters. "On the other hand, it may open the door to new investors who were not willing to enter Ubisoft and try to shake up things as Electronic Arts already owned 15 percent but was not doing anything with its stake."
Ouch. When EA originally bought the shares back in 2004, the speculation was that the company planned to take over Ubi, so this move could indicate a lack of faith in the future of the French company. The market seems to agree: Ubisoft shares fell by 1.3 percent on the news.