Tencent – China giant set to pay billions for majority stake in Supercell

[Source] Chinese Internet giant Tencent Holdings is in talks with SoftBank to buy its majority stake in Supercell, the Finland-based developer of some of the world’s most popular mobile games, according to people briefed on the discussions. Tencent’s talks with SoftBank are still at an early stage, according to the people, and it isn’t clear whether SoftBank is currently in talks with other parties.

Tencent x Supercell image

SoftBank bought a 51% stake in Supercell, maker of the combat simulator “Clash of Clans” and “Clash Royale”, for $1.53 billion in 2013. The Japanese company last year raised its stake to 73%. Supercell is reportedly worth around USD 6 billion, meaning Tencent will have to fork out a minimum of USD 3.06 billion (51%) for a majority stake. I am guessing the final price will be much higher.