Sharechat Logo

Tencent Mobility snaps up Grinding Gear Games for more than $100M

Thursday 31st May 2018

Text too small?

Hong Kong-listed Tencent Mobility was granted Overseas Investment Office approval to buy up to 100 percent of video game developer Grinding Gear Games for more than $100 million.

Tencent Mobility - an online communication, advertising, and gaming service provider - was granted consent to acquire up to 100 percent of the shares in Grinding Gear Games, 80 percent upfront and the remaining 20 percent over approximately six years, a summary of the decision released today said.

While no amount was disclosed, the need for OIO approval was triggered because it exceeds $100 million.

"Tencent Mobility Ltd has satisfied the OIO that the individuals who will control the investment have the relevant business experience and acumen and are of good character. Tencent Mobility Ltd has also demonstrated financial commitment to the investment," the OIO said.

According to the OIO, the shareholders of Grinding Gear Games "wish to realise the value of their investment and to allow the company to grow, by utilising the international connections of Tencent Mobility."

Tencent Mobility is majority owned by Hong-Kong investors and is the world's largest online games company. Its total revenue in the first quarter of 2018  was US$11.7 billion. 

Auckland-based Grinding Gear Games is best known for creating the 'Path of Exile' online video game that has around 2 million players signed up. 

(BusinessDesk)

  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comment:
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

MARKET CLOSE: NZ shares fall as investor uncertainty weighs on exporters; F&P Health, A2 drop
NZ dollar drops below US68c on plan to up bank capital
Noel Leeming fined $200,000 for misleading consumers
Big four banks face stiffer capital requirements from RBNZ
Infratil signals A$50m investment in Canberra Data Centres
Govt provides $2.5 mln to develop Opotiki aquaculture
Labour co-ordinator role may alleviate kiwifruit labour shortage
NZ manufacturing activity chugs along in November
Australia's GWA lobs in $118M bid for Methven
Govt leaves door open for higher emissions price cap

IRG See IRG research reports