Stock climbed on plans to carve out a unit that will house key franchises including Assassin’s Creed with the backing of Chinese tech giant Tencent.

Ubisoft Entertainment SA’s US-listed shares soared as much as 20% after the video game maker said it will carve out a unit including Assassin’s Creed, Far Cry and Tom Clancy’s Rainbow Six into a subsidiary with an enterprise value of about €4 billion ($4.

Chinese technology giant Tencent is taking a €1.2bn stake in a new spin-off from Ubisoft, as the struggling French games developer attempts to shore up its balance sheet. The deal values a new subsidiary that will run Ubisoft’s top franchises — including Assassin’s Creed, Far Cry and Tom Clancy’s Rainbow Six — at about €4bn.