Niantic in Talks to Sell to Saudi-Owned Firm Behind Stumble Guys

Niantic, the developer behind the immensely popular augmented-reality mobile game Pokémon Go, is reportedly in negotiations to sell its video game division to Scopely, a company owned by Saudi Arabia's Savvy Games Group, for a staggering $3.5 billion. According to Bloomberg, the sale could encompass Pokémon Go, which has revolutionized mobile gaming by encouraging players to venture into the real world to capture Pokémon.

While the deal is not yet finalized, a source who spoke to Bloomberg on condition of anonymity indicated that if the acquisition is approved, it could be announced within weeks. Niantic, Scopely, and Savvy Games Group have all remained tight-lipped, refraining from making any public statements regarding the potential acquisition.

Scopely, which was acquired by Savvy Games Group in April 2023 for $4.9 billion following the Saudi government's expressed interest in purchasing "a leading games publisher," is known for its successful mobile titles including The Walking Dead: Road to Survival, Stumble Guys, Marvel Strike Force, and Monopoly Go. Additionally, Savvy Gaming Group has shown a significant interest in the esports sector, having purchased two of the world's largest esports companies, ESL and FACEIT, for a combined $1.5 billion in 2022.

Saudi Crown Prince Mohammed bin Salman bin Abdulaziz has articulated a grand vision for the country's gaming and esports industry, stating, “Savvy Games Group is one part of our ambitious strategy aiming to make Saudi Arabia the ultimate global hub for the games and esports sector by 2030. We are harnessing the untapped potential across the esports and games sector to diversify our economy, drive innovation in the sector, and further scale the entertainment and esports competition offerings across the Kingdom.”