The Japanese company SNK is now more than 96% owned by a politician fromSaudi Arabia, and this operation was widely commented on in the media. We return to the latter for try to understand why.
Saudi Arabia’s maneuvers
Saudi Arabia has spent the last year pumping money into the gaming industry, with strategic investments in companies like Activision Blizzard, Electronic Arts, Take-Two Interactive, Capcom and Nexon.
Like many operations whose operator is Mohammed bin Salman (the Crown Prince in charge of the country), these purchases are part of the “Saudi Vision 2030” strategy, established during his accession to powerwhich, on paper, is supposed to diversify the kingdom’s (almost exclusively oil) economy.
An impressive figure concerning snk
According to an announcement sent to investors from SNK (which is not, here, the abbreviation of Shingeki No Kyojin, but good a Japanese video game development company behind, for example, The King of Fighters) last February, Electronic Gaming Development Company (EGDC), a subsidiary of a foundation headed by the Saudi Crown Prince Mohammad bin Salmanheld 96.18% of the company, following a massive investment. Details from SNK’s report note that EGDC purchased 14,048,218 shares in this way for a total of more than KRW 522 billion (approximately €400 million).
A political redemption of this fact, which should make it possible not only to diversify the country’s economy, but also to smooth the image of Saudi Arabia internationally. It should also be noted that Mohammed Bin Salman has been, since 2017, the owner of the Salvator Mundiassigned to Leonardo DeVinci, which he bought for $450 million. And speaking of video games, if you want to know which video game landmarks Rockstar is about to bring back to life, you can read our previous article on the subject.