Saudi Arabia’s sovereign wealth fund, the Public Investment Fund (PIF), is sending ripples through the gaming industry with its continued interest in Nintendo. The PIF already holds a significant 8.5% stake in the Japanese gaming giant, representing a substantial investment of $5.8 billion. This follows their initial purchase of 5% of Nintendo’s shares in 2022, a move made during the company’s 10-for-1 stock split.
However, the PIF’s appetite for Nintendo might not be sated. In a recent interview with Kyodo News, Saudi Prince Faisal bin Bandar bin Sultan Al-Saud hinted at further investment possibilities, stating that “there are always opportunities.” The PIF’s focus on gaming is evident through its dedicated subsidiary, Savvy Games Group, which has been actively acquiring companies like the mobile gaming powerhouse Scopely.
The PIF’s aggressive investment strategy in gaming extends beyond Nintendo. They own nearly 9% of Koei Tecmo and EA stock, and in 2022, invested $1 billion in the Embracer Group. Savvy Games Group CEO Brian Ward, in a statement to Arab News, revealed their ongoing pursuit of additional acquisitions. “On the game development and publishing side, we expect to be able to announce another major investment or acquisition, hopefully in a top team or publisher that can bring another great game to our portfolio.”
The PIF’s continued interest in Nintendo and the gaming industry as a whole is a significant indicator of the growing importance of this sector in the global economy. The potential for further investment from the PIF could have a major impact on Nintendo’s future, particularly in the realm of game development and publishing. It also signals the increasing role that Saudi Arabia is playing in the global gaming landscape.
