Sony reportedly in talks to acquire FromSoftware parent company Kadokawa Corporation
Update: Kadokawa has acknowledged the reports and confirmed that Sony has sent "an initial letter of intent" to acquire the company but clarified that no decision has been made as of yet.
Original article:
Kadokawa Corporation, the owner of Elden Ring and Souls developer FromSoftware, is reportedly in talks with Sony regarding a potential acquisition.
The details:
As reported by Reuters, sources close to the situation have claimed that the two companies are still in discussions, but should the negotiations be successful, a deal could be finalized in a matter of weeks. Reuters added that Sony declined to comment on the rumor, while Kadokawa stated that it was unable to comment.
Both Kadokawa and Sony have existing ownership stakes in FromSoft, with 69.6% and 14%, respectively. Sony also owns the Demon's Souls and Bloodborne IPs, while FromSoft retains control of Sekiro and Elden Ring. If the deal goes ahead, Sony will own all of FromSoft's major franchises and 84% of the company, with Tencent holding the remaining 16%.
Kadokawa also owns a number of other game studios and companies involved in various forms of media such as anime and manga. This includes Acquire, the developer of Octopath Traveler; Spike Chunsoft, the studio behind Dragon Ball: Sparking! Zero; and Gotcha Gotcha Games, the creator of RPG Maker. With Sony’s current ownership of Funimation and Crunchyroll, the addition of Kadokawa’s manga and anime business will give Sony even more control in the market.
More gaming news:
Half-Life 2 has surpassed its all-time concurrent player count two decades after its original launch, thanks to the release of its 20th-anniversary update and the game being free for a limited time.