Ubisoft is ongoing a “strategic reorganisation” across some of its “European business subsidiaries,” the firm said following rumours of office closures.

As reported by NME, a Resetera user shared on Friday what they claimed to be an internal Ubisoft email, indicating that “Ubisoft Benelux” will reportedly be closing down on April 1, 2023.

It’s unclear which office(s) they’re referring to but Ubisoft only has one in the Benelux region, in Utrecht, Netherlands.

In the email, Ubisoft reportedly pointed to several challenges currently facing the company, including physical sales and shows declining, and the shift to free-to-play.

“To meet the challenges of the future, Ubisoft’s management has decided to close a number of subsidiaries in Europe,” the email reportedly read. “Unfortunately, the Ubisoft Benelux entity is subject to the intended closure with most employees departing as of April 1st, 2023.

“Due to the closure, Ubisoft BV will fully outsource the current distribution of physical games in the Benelux to a distributor to be announced at a later stage.”

In a statement sent to NME, a Ubisoft spokesperson did not mention office closures, but said: “Ubisoft’s publishing group is working on a strategic reorganisation of its European business subsidiaries. This process is ongoing and we don’t have any more detail to share at this stage.”