Nexon Announces Investments In Hasbro, Bandai Namco, Konami, And Sega Sammy
Up for sale just two years ago, Nexon is now spending on other game companies instead of someone spending on it. The publisher and developer today announced that it had invested in four major global brands: Hasbro Inc., Bandai Namco Holdings Inc., Konami Holdings Corporation, and Sega Sammy Holdings Inc. The moves were described as "long-term friendly investments with no intention of acquisition or activism."
In August, Nexon President and CEO Owen Mahoney said that his company had "up to $1.5 billion," to spend on IPs that represented a "new class of winners," but that Nexon wasn't ready to reveal what companies it had already invested in. Today, the foursome mentioned above met the requirement for the company to disclose its investments, though there are "other investments [that] did not meet the company's threshold for disclosure."
Mahoney had the following to say about the investments:
"We believe companies with strong, well-managed global IP are often overlooked and undervalued in a market that is narrowly focused on introductions of new IP. “These investments reflect our respect for management teams that create and grow global properties over a period of years and decades. We believe that each has potential to capitalize on the secular shift from linear formats to interactive entertainment.
"These investments represent a good use of our cash in a low-interest environment and we are extremely pleased with the initial results. While leveraging partnerships was not a consideration in our investment decisions, we are pleased with the dialogue that has ensued with some companies."
As I put it in my analysis last year, Mahoney and Nexon are probably taking advantage of lowered overall values of companies due to the effects of COVID-19 and how that's brought about a "shift from linear formats to interactive entertainment." His company is buying pieces of big companies with big IPs that are relatively safe bets to rebound once things get back to normal. If I had $1.5 billion, I'd do the same ... well, after building my castle with a moat patrolled by robot sharks.
About the Author
Jason Winter is a veteran gaming journalist, he brings a wide range of experience to MMOBomb, including two years with Beckett Media where he served as the editor of the leading gaming magazine Massive Online Gamer. He has also written professionally for several gaming websites.
You May Enjoy
Pantheon’s Latest Parting The Veil Live Video Discusses The Game’s Past Compared To Where It’s At Now
It’s kind of an ongoing development deep dive.By QuintLyn Bowers - 1 week ago
Black Desert Online Drops Console Update, Adds New Classes In Both Mobile And PC Versions
There’s a little something for everyone.By QuintLyn Bowers - 3 days ago
Explore The Latest Realm In Albion Online’s “Beyond The Veil” Update Today
Prepare to experience the Mists and the mysterious city of Brecilien.By QuintLyn Bowers - 5 days ago
New World Of Warcraft: Dragonflight Survival Guide Video Tours The Expansion's Dungeons, Areas, And More
Here's a quick rundown to prep you for the Dragon Isles.By Anthony Jones - 3 days ago
Sony Claims Microsoft's Acti-Blizz Deal Could Make PlayStation "Like Nintendo," Hurt Indie Devs, And "Lead To Price Raises"
Their comments paint a future where Microsoft could be a dominating player in the industry.By Anthony Jones - 3 days ago
Marvel Snap's Next Season, "The Power Cosmic," Adds Rare Series 4 And 5 Cards And Token Shop In December
Some incoming big players in the Marvel universe will likely change up the meta.By Anthony Jones - 4 days ago