Sony to become Kadokawa’s largest shareholder in new co-operative business alliance 

On December 19, Sony announced that it has formed a new business alliance with Kadokawa. As part of this agreement, Sony is set to become Kadokawa’s largest shareholder on January 7, 2025, owning 10% of the Japanese publishing conglomerate’s shares. Sony and Kadokawa will also work together more in the future, deepening their cooperation to “maximize both companies’ IP value globally.” 

According to the press release, Kadokawa and Sony plan to discuss the specifics of such collaborations at a later date. These will include initiatives to adapt Kadokawa IPs into live-action movies and TV series, and to expand the global distribution of Kadokawa’s animes and games through the Sony Group. The two organizations also mention more potential joint efforts such as co-producing new anime. 

Kadokawa’s CEO Takeshi Natsuno commented that “We are very pleased to conclude this capital and business alliance agreement with Sony. This alliance is expected to not only further strengthen our IP creation capabilities, but also increase our IP media mix options with Sony’s support for global expansion, allowing us to deliver our IP to more users around the world.” 

Reports about Sony intending to acquire Kadokawa have been circulating since this time last month, having a widespread impact on share prices, and fueling widespread speculation. It seems however that, rather than buying out the entire Japanese publishing conglomerate, Sony is instead becoming the majority shareholder and forming a co-operative agreement which will play to the strengths of both organizations.