Tencent seeks to buy stake in Nexon at $15b
Tencent is reportedly considering acquiring a stake in South Korean game giant Nexon at 20 trillion won ($15 billion), a move that would further solidify the Chinese tech giant's presence in the Korean cultural content market.
According to Bloomberg, Tencent Holdings has reached out to the family of Nexon's late founder Kim Jung-ju to discuss the possibility of an acquisition. The report added that the size or structure of the deal is unclear. Both Tencent and Nexon have declined to respond to the report.
Kim's wife and daughters own about 67.6 percent of the game giant's holding company NXC. Through NXC, they own a 44.4 percent stake in Nexon. Considering the stakes, the deal is estimated to be worth 20 trillion won.
The other 30.64 percent stake in NXC is owned by the Korean government. Kim's relatives turned in the shares worth roughly 4.7 trillion won to the government to pay off an inheritance tax. The Finance Ministry has been trying to sell the stake through a tender offer but has failed on multiple occasions.
Tencent has long shown interest in Nexon. In 2019, it was named as a potential bidder when NXC was put up for sale. It ultimately did not participate in the bidding. At the time, market big names including Kakao and Netmarble submitted bids, but the sale was eventually called off without a deal.
Tencent has been pushing to tighten its grip on the Korean cultural content market through strategic equity investments, holding 34.76 percent stake in Shift Up, 13.71 percent of Krafton, and 17.52 percent in Netmarble, making it the second-largest shareholder in each. It is also the third-largest shareholder in Kakao Games with a 3.88 percent stake.
In May, Tencent Music Entertainment, a subsidiary of the Chinese tech giant, acquired the entire 9.38 percent stake of K-pop powerhouse SM Entertainment held by Hybe, valued at approximately 200 billion won. The acquisition positioned Tencent as the second-largest effective shareholder of SM.
With the talks of an acquisition deal brewing up, shares of Tokyo-listed Nexon surged as much as 10 percent shortly after the market started trading Friday. Seoul-listed Nexon Games saw a 10 percent surge in its share price as well.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Korea Herald
4 hours ago
- Korea Herald
Baby Dont Cry kicks off lovely, cheeky journey
P Nation's first girl group debuts with 'F Girl,' produced by Soyeon of I-dle Another ambitious rookie group has stepped into the K-pop arena. Like its distinctive team name, Baby Dont Cry aims to present a unique genre and a fresh attitude. BDC — consisting of Korean members Yihyun and Beni, and Japanese members Kumi and Mia —held its debut showcase in Yongsan-gu, Seoul, Monday. The very name of the group challenges conventional imagery. 'Baby' in the name signifies pure, strong energy, rather than a fragile, vulnerable being who needs protection, according to the group. 'At first, the name felt unfamiliar as it's a sentence. But I found the new interpretation of 'Baby' — representing innocence and strength — very refreshing, and now I am deeply attached to our name,' said Beni. The debut single 'F Girl' features an exciting guitar sound and powerful choreography. It carries a strong message of confronting people who judge others with scores and numbers. Leader Yihyun named the group's signature genre as the 'Baby Rock,' a genre combining lovely visuals with firm self-confidence and honesty. The group also dropped the prerelease track 'Bet You'll Regret It.' The track conveys a bold message, saying one would regret it if they did not fall for BDC right away. BDC is the first girl group launched by P Nation, a label headed by singer Psy. The debut single was produced under the direction of I-dle's Soyeon. As a veteran K-pop girl group artist and a skillful producer, Soyeon guided the four members throughout the album-making process. 'I've always loved watching I-dle's performance, so when I heard that Soyeon would be producing our debut song, I was thrilled,' said Beni. Mia recalled how Soyeon's detailed guidance helped members through the nerves of their first recording session. 'We were really tense, and our energy dropped. But Soyeon encouraged us and even gave us mental support. Her detailed advice helped us adapt to the process quickly.' Psy also offered valuable advice as a CEO. 'He told us that truly enjoying the stage is the most important part, saying if we're full of energy, the audience will feel it and gain strength,' said Mia. BDC aims to present an image that is both lovable and strong. 'We want to be sweet and lovable, but with an unexpected pop, like popping candy,' Kumi said. 'We're a really cute group,' said Beni with a smile. 'We hope to be a group that brings healing to people, showcasing a lovable and confident image at the same time.'
Korea Herald
8 hours ago
- Korea Herald
Zyx Technology partners with AIK to promote AI-driven architectural design
Zyx Technology, a Korean digital design platform company, on Monday signed a memorandum of understanding with the Architectural Institute of Korea to bolster their partnership on AI-driven architectural design. As part of the agreement, Zyx Technology will donate 2 billion won's ($1.4 million) worth of educational licenses of its flagship computer-aided design software, ZyxCAD to AIK. The software will be distributed to students, faculty, and researchers for academic and research purposes. The partnership aims to promote domestic design technology in education, foster AI-based design automation, and support the localization of Building Information Modeling application software. Key initiatives include joint CAD training programs, technology development, regular seminars, and professional exchanges between academia and industry. ZyxCAD, registered on Korea's Public Procurement Service platform, boasts full compatibility with AutoCAD commands, shortcuts, and file formats, including LISP. Its user-friendly interface and high-speed multi-CPU processing make it suitable for both educational and industrial use. Additionally, it includes 'Works,' a CAD utility suite with over 450 features for task automation and advanced design. 'Partnering with the Architectural Institute of Korea, which sits at the intersection of academia and industry, is a meaningful opportunity to validate the technical value and practicality of ZyxCAD,' Eom Shin-jo, CEO of Zyx Technology, said. 'We look forward to working together to advance the digital design environment and expand the domestic software ecosystem.' 'This agreement comes at a pivotal time for AI in architectural design,' said AIK President Park Jin-chul. 'We'll support our members in building practical design skills with ZyxCAD.'
Korea Herald
9 hours ago
- Korea Herald
One Hundred Label mired in turmoil amid artist disputes, leadership shakeup
K-pop singers Ju Haknyeon, Yong Jun-hyung and MC Mong at center of mounting controversies One Hundred Label, the parent company of several K-pop subsidiaries including Big Planet Made Entertainment, INB100 and Black Made, is facing a series of internal and public challenges involving key artists and executives. Tensions escalated Saturday when Yong Jun-hyung, a solo artist under Black Made — a Big Planet Made subsidiary — claimed he was pressured by his agency to terminate his exclusive contract under unfair terms. 'On the day my album was released last year, I was suddenly called in and told the label was restructuring due to business expansion,' Yong said on his social media account. 'They offered to cancel my contract without condition. When I expressed confusion, they changed course and suggested we continue working together.' However, Black Made later demanded he leave the agency and repay funds allegedly invested by a distributor he had never agreed to work with, according to Yong. 'They calculated damages in the billions of won and told me to leave. When I asked for the contract to be honored, they cut off communication,' he added. Black Made is a one-person agency launched by Yong in October 2022. The label is affiliated with Big Planet Made Entertainment, which was co-founded by singer-producer MC Mong and chairman Cha Ga-won, who also established One Hundred Label. The company is also in a legal dispute with Ju Haknyeon of The Boyz, as One Hundred Label announced on June 16 that it had ended its exclusive contract with the singer. The decision came after a photo circulated online showing Ju at a private gathering in Tokyo with former Japanese adult film actor Asuka Kirara. The company cited a breach of morals clause in Ju's contract, stating the termination was legitimate. On June 21, a Japanese media outlet reported that Ju drank with Asuka Kirara at a bar in Roppongi on May 29 and spent the night at her residence. Some media also raised speculation that Ju had solicited prostitution from Kirara, which Ju and the former actor have since directly denied. Ju further denied any illegal activity and claimed he was unfairly removed from the group without his consent. 'I was expelled from the team simply for being seen in a private setting with a celebrity and was asked to pay 2 billion won ($1.45 million) in damages,' Ju said in a handwritten letter uploaded on his social media Friday. According to One Hundred Label, Ju's exclusive contract was valid from December 2024 to December 2027, but he only took part in activities for 190 days. The company is reportedly seeking repayment of 1.23 billion won in signing bonuses and 770 million won in penalties. Ju has announced plans to take legal action, arguing the termination was unjust, while the agency maintains the decision was contractually sound. A court ruling is expected to determine whether the termination will be recognized as lawful. The company's leadership has also come under scrutiny following the abrupt removal of MC Mong from all management duties earlier in June. One Hundred Label, on June 13, abruptly announced that MC Mong had stepped down from his role as chief producer due to 'personal reasons,' without offering further explanation. Speculation grew after Cha issued a formal apology on June 18, expressing regret over 'concerns caused by issues involving artists and company members.' Although no names were mentioned, the statement fueled rumors that MC Mong was at the center of the troubles. Ju's handwritten letter posted the following day suggested a third party had been present at the controversial gathering in Tokyo, leading to increased public attention on MC Mong. MC Mong has since cleared his social media feed. One Hundred Label is home to the boy band The Boyz, while its subsidiary Big Planet Made Entertainment houses artists including Taemin of SHINee, Lee Mu-jin, Viviz and Lee Seung-gi. Another affiliate label, INB100, manages EXO members Baekhyun, Chen and Xiumin.
