Sony Acquires Largest Stake in Kadokawa for Business Alliance

Sony has solidified its position as the largest shareholder of Kadokawa Corporation through a strategic capital and business alliance. Dive into the details of this transformative partnership!

Sony Holds 10% Of Kadokawa Shares

Kadokawa Remains Independent

In a significant move, Sony acquired approximately 12 million new shares for around 50 billion JPY. Coupled with shares purchased in February 2021, Sony now commands a 10% stake in Kadokawa. Earlier reports from Reuters in November hinted at Sony's interest in acquiring Kadokawa, but this partnership ensures that Kadokawa retains its independence.

The strategic alliance aims to bolster the relationship between the two companies, with the goal of "maximizing both companies’ IP value globally and facilitating wider and deeper collaboration." This includes joint investments and promotional efforts, such as expanding the global reach of Kadokawa's IPs through live-action films and TV dramas, co-producing anime-related content, and leveraging Sony's distribution and publishing networks for Kadokawa’s anime and video game works worldwide.

Takeshi Natsuno, CEO of Kadokawa Corporation, expressed enthusiasm about the alliance, stating, "We are very pleased to conclude this capital and business alliance agreement with Sony. This alliance is expected to not only further strengthen our IP creation capabilities but also increase our IP media mix options with Sony's support for global expansion, allowing us to deliver our IP to more users around the world." Natsuno is confident that this partnership will significantly benefit both companies in the global market.

Hiroki Totoki, Sony Group Corporation’s President, COO, and CFO, echoed this sentiment, saying, "By combining KADOKAWA's extensive IP and IP creation ecosystem with the strengths of Sony, which has promoted the global expansion of a wide range of entertainment, including anime and games, we plan to work closely together to realize KADOKAWA's 'Global Media Mix' strategy, aimed at maximizing the value of its IP, and Sony's long-term vision, 'Creative Entertainment Vision.'"

Kadokawa, Rich In Notable IPs

Kadokawa Corporation stands as a powerhouse in Japan, with extensive involvement in multimedia sectors such as anime and manga publishing, movies, television, and video game production. The company boasts a portfolio of renowned IPs, including popular anime titles like Oshi no Ko, Re:Zero, and Dungeon Meshi/Delicious in Dungeon. Additionally, Kadokawa is the parent company of FromSoftware, known for developing blockbuster games like Elden Ring and Armored Core.

In exciting news from The Game Awards, FromSoftware announced a co-op standalone spin-off titled Elden Ring: Nightreign, set for release in 2025.