Sony Group is reportedly in talks to acquire Japanese content publisher Kadokawa Corporation. According to insiders, if negotiations proceed smoothly, the two companies may finalize a deal within the coming weeks. This news affected the stock market, with Sony's stock pulling back while Kadokawa's shares surged to hit the daily limit.
Sony, known for its extensive intellectual property holdings, sees Kadokawa as a valuable asset due to its vast array of manga, anime, film, and game content. Both companies are major shareholders in FromSoftware, the developer of the popular game "Elden Ring." Kadokawa has also launched a manga series based on this hit role-playing game.
Market analysts suggest that acquiring Kadokawa would bring Sony closer to acquiring FromSoftware, considered a prestigious asset within Sony's publishing division. Amir Anvarzadeh from Asymmetric Advisors noted that FromSoftware is a high-quality game studio that other third parties have long coveted.
Following reports of Sony's interest in Kadokawa, the stock of game publisher Bandai Namco Holdings Inc. plummeted by 8.7%. Bandai Namco is responsible for the overseas sales and marketing of "Elden Ring." Anvarzadeh commented that if Sony acquires Kadokawa, its need for Bandai Namco's services might diminish.
