By Reuters

(Reuters) - Shares in Ubisoft (UBI.PA) plunged on Thursday after the French video game publisher announced ​a sweeping reorganisation and said it would cancel six ‌games.

Shares of the "Assassin's Creed" video game series creator dropped 33% in ‌a delayed start to trading, leading losses on the SBF 120 index of Paris' most traded stocks.

They were on track for their biggest one-day drop since the company's 1996 ⁠listing if the ‌losses hold.

The Paris-based company plans to split into five creative divisions that will regroup its ‍titles based on game genres.

Ubisoft also said it would ditch development for six games, including a highly-anticipated "Prince of Persia" remake, and ​narrowed its net bookings forecast for 2026, while withdrawing ‌its earlier guidance for fiscal 2026/27.

"The prospect of a return to positive cash generation appears distant, and the financial structure is likely to be weakened again in the near term," Corentin Marty, analyst at brokerage firm TP ⁠ICAP Midcap, said in a note ​to clients.

Shares were trading at ​4.6 euros in early Thursday trading, giving Ubisoft a market value of 616 million euros ($720 million).

Its ‍shares nearly halved ⁠in value last year, falling below 1 billion euros of market capitalization, compared to their peak of ⁠11 billion euros in 2018, according to LSEG data.

($1 = 0.8558 euros)

(Reporting ‌by Gianluca Lo Nostro and Clement Martinot in ‌Gdansk; Editing by Milla Nissi-Prussak)

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