Relax? Think how many threads could be done if it didn't go through.
Kadokawa stocks have risen $1.1B in the last 5 days
- Thread starter Etifilio
- Start date
It's not so much a GaaS leak as it is a single player leak. This has been confirmed by Kadokawa.
If it goes through, are you going to be over the moon with excitement, yer?
Or will it be 10 seconds later with another Sony is doomed post.
I normally turn my brain off to these kind of things until its official
Then nothing is lost lol. But I believe Kadokawa confirmed they had a offer from Sony.
Now, a statement from Kadokawa reads, “There are some articles on the acquisition of Kadokawa Corporation (hereinafter “the Company”) by Sony Group Inc,
Something could fall through, so Ill just wait till its final before getting excited lol
?
This is not a rumor.
Kadokawa oficially confirmed that Sony signed a letter of intent about wanting to acquire Kadokawa. It isn't a rumor, it's happening: Sony formally told Kadokawa that wants to buy them, this is a first step.
Being in talks or that letter doesn't mean they will buy them. As happened with Zee or Paramount, or as almost happened with ABK, the acquisition could fail and may not end being completed due to many reason.
Right now they both may be exploring, negotiating and evaluating different prices, conditions, integration possibilities, payment methods, auditing Kadokawa and many things more. Maybe Kadokawa is open to sell and agree some terms and conditions, or maybe negotiations aren't successful and one of the two sides ends blocking the acquisition somewhere in the future.
Or maybe they agree some conditions and (I assume this won't happen) some regulator blocks it.
In any case, the letter of intent means they aren't just starting talks. Means Sony is serious about acquiring them and that Kadokawa was open to -minimum- talk and to listen an offer.
Meaning, maybe they are on time to announce the acquisition in the PS anniversary day (December 3rd).
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Where did all of your hair go, @Etifilio? You used to have such luscious locks before you started dooming Sony. Now you've got the three kids and a mortgage cut
I just wonder how often companies make offers to other companies.
Does Kadokawa receive an offer from some bigger company every year or two and simply turn them down?
Kadakawa is an extremely niche specific company that apparently only other Japanese companies can buy. Most other companies dont want to sell Japanese school books and niche manga and anime. Most of us wouldnt even know this company exists if not for them owning fromsoftware. Sony happens to have an anime and manga subdivison and gaming division so those pieces fit with them. We dont even know if sony wouldnt sell off some of the other parts.
What im trying to say is unless some Japanese investment firm steps in, or maybe Bandai Namco, there really isnt anyone else who would be interested or even COULD buy Kadokawa. In my opinion of course.
Yup, the price is already set, Kadokawa just needs to accept.
Damn, so it doubled.
Yeah, acquisitions don't actually "leak", because it involves only the top executives of the companies and there can be legal consequences if it is done to manipulate stock prices and such.
But maybe this was made to prevent a hostile takeover while the deal is finalized?
It is already confirmed by the parts that they are indeed in talk
There is no rumor anymore.
The situation is the follow…
- The family owner of the company is not more commanding it.. like fathers died or retired and the sons doesn’t want to involve with the business anymore.
- The head executives without the family anymore decided it is better to sell the company before some external company make a takeover via shares.
- They put the company on sale for the domestic market because they don’t want to be sold to an external company… so they will try to sell to a Japanese company before anybody else.
- Sony showed interest because that is exactly what Sony was claiming to needs in the last financials… they need IP creators to their media business (forget gaming… this acquisition is not about the gaming market… From Software is just a bonus to Sony)… and Kodakawa basically do that.
So they are in talk.
Edit - Kodakawa’/ international business is via export so they don’t have direct international presence (they export to partners that does the job outside) so that type of domestic acquisition doesn’t involve any international regulation… it just a matter of Japanese government accept the fusion or not… and Japanese government is the best interested in a local company buying them instead some external player.
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guess that's why their going to Sony with the buyout and leak doesn't really have no bearing on it was just kakeo a Korean company who was buying up shares wouldn't try and do a hostile takeover
the new owner looking to since original family ain't interested in the company and trying to sell the business to a domestic company like Sony who's one of Japans larger companies that has a good relationship with them
I have no idea about Japan.
In Europe it is common that heads of studios share beers or lunches (last week I was with over half a dozen of them including a few AAA and a few indie publishers), and are friends since many years ago and know who is happy, who is struggling and will shut down soon, and who is struggling and could be saved by selling or merging, or wants to sell to grow.
That people has contacts/friends/former coworkers in important positions of studios from other countries, publishers, platform holders, investing groups/hedge funds etc. that some day get in the position to buy and keep asking about potential opportunities to invest or acquire testing the water everywhere to see what is available and fits their catalog and strategy.
Through common friends -or because they know each other- the potential acquirer knows who is open to sell who isn't. And often only ask for acquisition to those who they already know may be on the position of wanting to sell.
There are a few cases of a handful huge corporations who appear out of nowhere asking for potential opportunities because want to grow in certain region or game type/platform/genre.
Unless there's a common interest, big synergy or need, or it's the only option available, people often to be acquired by the second group and tend to go with the first group even if it's a smaller acquirer/pays less. People prefers people they already know and trust, specially if have a long relationship.
And this is -in most cases- not top tier studios. I assume that obviously those who got huge hits -like Elden Ring in case of Kadokawa- may receive more questions about if they are interested on selling or not.
Pretty likely since they released Sekiro and specially after Elden Ring they said no to minimum a handful people per year. And pretty likely their friend who shares beers and dinners with them and may ask them for an acquisition are the Sony guy who signed with them dozens of exclusives in the last 3 decades, or maybe maximum Harada or whoever is the Bandai Namco CEO. Not MS, the Saudis, Tencent, Embracer, Black Rock or JP Morgan.
I think Sony is the one who has more changes, followed by Bandai Namco. And if it doesn't work with them, then it would be Tencent, Netease or some other big Asian group.
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