Games Maker Gameloft Rejects $570 Million Offer From Vivendi

France's Vivendi faces a fight for control of video game producer Gameloft.
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France's Vivendi faces a fight for control of video game producer Gameloft after the target's board, including members of the Gameloft's founding family on Monday unanimously rejected the Paris-based conglomerate's $560 million bid. Gameloft, also of Paris, described Vivendi's offer as hostile and destabilizing, adding that it was too low and lacked industrial logic. Opposition to the bid is led by Gameloft CEO Michel Guillemot and his four brothers, who founded Gameloft in 1999. Vivendi has spent months building stakes in Gameloft and its sister company Ubisoft Entertainment claiming that the investments were part of a strategic vision to combine games with Vivendi's content and platforms. Vivendi owns France's biggest pay-tv channel and the world's largest music publishing business, Universal Music Group. Ubisoft has also said it has no interest in being acquired by Vivendi. The Guillemot family owns just under 10% of Ubisoft and retains 16.3% of the voting rights. Vivendi's bid for Gameloft comes just over a month after it sold a remaining 5.7% stake in Santa Monica, California-based Activision Blizzard Inc. (ATVI) for $1.1 billion. Vivendi sold the bulk of its stake in Activision for $8.2 billion in 2013.