Tencent is allegedly shifting its M&A strategy to “aggressively” focus on “buying majority stakes mainly in overseas gaming companies.”
As reported by Reuters, this change is in part due to Tencent’s attempt to battle the slowing growth in its home country of China.
In the past, Tencent had focused on acquiring minority stakes in gaming companies as a passive financial investor, but this new initiative will see them seeking to own majority or “even controlling stakes” in companies outside of China. Four people with knowledge of the matter have also said it may be primarily targeting “gaming assets in Europe.”
Tencent, which is the “world’s number one gaming firm by revenue,” is additionally looking at companies that are working on the metaverse.
Part of this plan showed its face in August when another report from Reuters said Tencent was wanting to become Ubisoft’s biggest shareholder and up its current 5% investment in the company behind Assassin’s Creed, Rainbow Six Siege, Far Cry, and more. In early September, it raised its stake to 11%.
This news also arrives in a time rife with major acquisitions, including Microsoft’s deal to purchase Activision Blizzard for $68.7 billion and Sony’s deal to purchase Bungie for $3.6 billion.
Have a tip for us? Want to discuss a possible story? Please send an email to [email protected].
Adam Bankhurst is a news writer for IGN. You can follow him on Twitter @AdamBankhurst and on Twitch.
Stay connected with us on social media platform for instant update click here to join our Twitter, & Facebook
We are now on Telegram. Click here to join our channel (@TechiUpdate) and stay updated with the latest Technology headlines.
For all the latest gaming News Click Here
For the latest news and updates, follow us on Google News.
Denial of responsibility! NewsAzi is an automatic aggregator around the global media. All the content are available free on Internet. We have just arranged it in one platform for educational purpose only. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the owner of the content and do not want us to publish your materials on our website, please contact us by email – [email protected]. The content will be deleted within 24 hours.
