Niantic Inc., the developer of the mobile game Pokémon Go, is reportedly negotiating the sale of its video game business to Scopely Inc., a subsidiary of the Saudi Arabian-owned Savvy Games Group.

Sources indicate that the potential deal could be valued at approximately US$3.5 billion, with an announcement expected in the coming weeks.

The agreement may include Pokémon Go and other Niantic mobile games.

However, no confirmation of a finalized deal has been made. Both Niantic and Scopely have declined to comment on the negotiations.

Niantic gained prominence with Pokémon Go’s launch in 2016.