Chinese Technology conglomerate and world’s largest game publisher Tencent has increased its stake in Kadokawa, as reported by The Nikkei on March 3. Tencent acquired an additional 1.11% of Kadokawa’s shares, bringing its ownership up to 7.97%.
The purpose of the additional acquisition of shares, as cited in a report by Tencent, was “part of a capital and business alliance between the submitter and the issuer.” Kadokawa is not only the parent company of Elden Ring developer FromSoftware, but the owner of numerous anime studios, possessing a rich library of original IPs that keeps expanding through its manga and light novel publishing sector.
Tencent initially acquired a 6.86% stake in Kadokawa for $264 million in 2021. In the meantime, Kadokawa entered a business alliance with Sony, with the latter becoming its largest shareholder as of January 7 this year. Currently, Sony has a 10% stake in Kadokawa.
