Sony changes its mind about buying parent company FromSoftware, but will become its largest shareholder

The Japanese company Sony Group Corporation, which was aiming to purchase the media holding Kadokawa Corporation, has so far abandoned the idea of ​​a takeover. The corporations announced a different kind of alliance.

Image source: Bandai Namco

As it became known, Sony has signed a strategic capital and business alliance agreement with Kadokawa, under which it will buy 12,054,100 of its shares on January 7, 2025 for approximately 50 billion yen (about $318 million).

As a result of this transaction, Sony Group Corporation will become the largest shareholder of Kadokawa Corporation – the Japanese platform holder will have approximately 10% of the shares of the media holding (including those purchased in February 2021).

Image source: Gematsu

Sony noted that it has a long-standing relationship with Kadokawa, and the new agreement aims to strengthen that relationship to “maximize the value of both companies’ intellectual property on a global scale.”

In the future, the companies plan to discuss specific initiatives within the framework of cooperation, such as film adaptations of Kadokawa products, joint production of anime, expanding the release of its games and distribution of other projects.

Image source: Bandai Namco

Kadokawa CEO and President Takeshi Natsuno noted in a press release that the company is very pleased with the alliance with Sony and, for its part, will do everything possible to ensure that the agreement leads to the best results.

Kadokawa publishes books, manga and magazines, films, anime and cross-media. In addition, she owns several game studios, including FromSoftware (Dark Souls, Bloodborne, Sekiro: Shadows Die Twice, Elden Ring).