Chinese Internet powerhouse Tencent and its partners have closed a deal with Japanese telco giant SoftBank Group Corp. to acquire a 84.3% stake in Supercell, the Finnish game maker of “Clash of Clans,” for $8.6 billion.
The deal values Supercell, which is also behind such hit games as “Hay Day,” “Boom Beach” and “Clash Royale,” at $10.2 billion.
Founded in 2010, the Helsinki-based Supercell has offices in San Francisco, Tokyo, Seoul and Beijing. Its four top games – “Clash of Clans,” “Hay Day,” “Boom Beach” and “Clash Royale” — have made it in the top-10 highest-grossing and currently reach more than 100 million users per day.
“Supercell is known for its creativity, focus on player experience, and unique culture, which have enabled it to create innovative mobile games that are wildly popular globally. Tencent is dedicated to building long-term strategic partnerships with leading game companies. We are excited that Supercell is joining our global network of game partners, and will preserve their independence and enhance their advantages, thus bringing even more exciting gaming experiences to players around the world,” said Martin Lau, Tencent president. “It is important to us that Supercell stays true to its roots by sustaining its unique culture, continuing to be headquartered in Finland, and representing its home proudly,” added Lau.
Capitalizing on Supercell’s track record, Tencent will maintain the independence of the company, while its existing team will continue running all operations at its headquarters in Helsinki. Tencent also intends on raising the stakes owned by every Supercell employee in Supercell to enhance their commitment and engage them in a new long-term incentive plan.
“Today is about chasing a future for Supercell that we have always dreamed of. We founded Supercell to make great games that people all over the world would play for decades and become part of the rich history of games. We’ve made excellent progress – over the past six years, we’ve created four top games that are now played by over 100 million people every single day. Tencent’s investment secures what has made all of this possible, which is our independence and unique culture of small and independent teams,” said Ilkka Paananen, Supercell CEO, adding that the partnership with Tencent gave Supercell “exciting growth opportunities in China, where we will be able to reach hundreds of millions of new gamers via Tencent’s channels.”
The pact, which has yet to be approved by regulatory authorities, is expected to close during the third quarter of this year.