Jofie Yordan · · 1 min readTencent, Sony buy stake in Elden Ring developer for $260m
Tencent Holdings and Sony have acquired a 30% stake in Elden Ring game developer FromSoftware, the latter’s parent Kadokawa Corporation announced on Wednesday.
Elden Ring game / Photo credit: PlayStation
The combined investment is worth around US$260 million, with Tencent and Sony paying US$140 million and US$120 million, respectively.
As a result, Tencent now owns 16.25% in FromSoftware, while Sony Interactive Entertainment owns 14.09%. The rest is owned by Japan-based Kadokawa Corporation.
Kadokawa said the three companies have operated a strategic alliance in the fields of anime and gaming since 2021. Recent investments will be used to expand FromSoftware’s expansion into global markets.
FromSoftware’s latest game, Elden Ring, has sold more than 16 million copies so far. Previously, the game studio was also known as the creator of the Dark Souls series, Sekiro: Shadows Die Twice, and Bloodborne.
See also: Tencent’s revenue woes continue in Q2
Meanwhile, this is Tencent’s latest investment in gaming, after several major bets such as the buyout of Riot Games in 2015 and acquisition of a 40% stake in Epic Games in 2012. Tencent also owns a 5% stake in Activision Blizzard.
Editing by Samreen Ahmad and Arpit Nayak
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