Electronic Arts' $50 billion go-private talk boosts European videogame stocks

Ubisoft Entertainment SA

29/09/2025 09:26

** Shares of European videogame makers Ubisoft UBIP.PA, Embracer EMBRACb.ST, and CD Projekt CDR.WA gain between 2% and 4% after media reports of U.S. rival Electronic Arts' EA.O potential $50 billion buyout fuel sector optimism

** "There is a read across the video games sector as the EA deal signals there is long term value in the industry", analyst Edward James from Cantor says

** Still, neither Ubisoft nor Embracer are targets for a similar deal and any rise is set to be short term unless those companies can show improved performance, James adds

** The EA deal "would reinforce Ubisoft's status as one of the last major actors of the sector listed on a stock market," Midcap analyst Corentin Marty says

** Marty, however, points out at Tencent's 0700.HK large participation, especially after the recent join venture creation, as limiting speculative interest

(Reporting by Leo Marchandon and Vera Dvorakova)

((Leo.marchandon@thomsonreuters.com))