Sony has become Kadokawa Corporation's largest shareholder through a newly formed strategic capital and business alliance. This significant partnership promises exciting developments in the entertainment industry.
Sony's 10% Stake in Kadokawa
Kadokawa Maintains Independence
This alliance sees Sony acquiring approximately 12 million new Kadokawa shares for roughly 50 billion JPY. Combined with shares acquired in February 2021, Sony now holds approximately 10% of Kadokawa's total shares. While Reuters reported earlier this year that Sony aimed to acquire Kadokawa, this agreement ensures Kadokawa remains an independent entity.
The press release highlights the alliance's goal of strengthening ties to maximize both companies' global IP value. This will involve collaborative efforts such as: joint investments and promotions; creating live-action films and TV dramas based on Kadokawa IPs for global audiences; co-producing anime; and expanding Kadokawa's reach through Sony Group's global distribution and publishing networks for anime and video games.
Kadokawa Corporation CEO, Takeshi Natsuno, expressed enthusiasm, stating the alliance will enhance IP creation capabilities and expand media mix options, ultimately delivering IPs to a wider global audience. He is confident this will benefit both companies significantly in the global market.
Sony Group Corporation's President, COO, and CFO, Hiroki Totoki, emphasized the synergy between Kadokawa's extensive IP and creation ecosystem and Sony's global entertainment reach, particularly in anime and games. The collaboration aims to realize Kadokawa's "Global Media Mix" strategy and support Sony's "Creative Entertainment Vision."
Kadokawa's Impressive IP Portfolio
Kadokawa Corporation is a major Japanese conglomerate with significant holdings across various multimedia sectors, including anime and manga publishing, film, television, and video game production. Its impressive portfolio includes popular anime IPs such as Oshi no Ko, Re:Zero, and Dungeon Meshi/Delicious in Dungeon. Importantly, Kadokawa is also the parent company of FromSoftware, the developer behind Elden Ring and Armored Core.
FromSoftware recently announced at The Game Awards that a co-op standalone spin-off, Elden Ring: Nightreign, is slated for release in 2025.
