Niantic reportedly in talks to sell video game business in $3.5bn deal with Scopely
Pokémon Go developer Niantic is reportedly considering selling its video game portfolio to Savvy Games Group subsidiary, Scopely.
Whilst the deal has yet to be confirmed and neither Niantic nor Scopely have talked publicly about the deals, Bloomberg claims the sale may include Niantic's tentpole augmented reality game, Pokémon Go.
If completed, it's thought the deal could be worth as much as $3.5 billion, and announced formally within a matter of weeks.
Scopely was acquired by Saudi Arabian multinational game investment group Savvy Games Group back in July 2023 for $4.9 billion. Last month, it appointed Nika Nour as SVP and head of international business development.
Saudi Arabia has been more and more active in the games and esports industry over the past few years, having invested $38 billion via its Public Investment Fund. The PIF has stakes in companies including Electronic Arts, Nintendo, Nexon and Capcom. It is also hosting the inaugural Olympic Esports Games, which are now set for 2027.
These investments have been controversial due to Saudi Arabia's poor human rights record, most notably on gender inequality and the criminalization of homosexuality, which is still punishable by life imprisonment or execution.
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