April 22nd, 2020, 15:01 Posted By: wraggster
A Nintendo investor believes the company can rival the biggest digital services if it continues to build on the success of the Switch and its world famous IP.
Reuters obtained a letter from ValueAct Capital Partners, which disclosed the firm has purchased around 2.6 million shares in the company since April 2019.
This gives ValueAct a 2% stake in Nintendo, worth over $1.1 billion.
In the letter, the investor said it has has been meeting with Nintendo's management and believes in the vision of president Shuntaro Furukawa.
A Nintendo spokesperson confirmed to Reuters that the company is "aware that ValueAct is holding a stake" and has "been engaged in dialogue with them," but does not disclose the details of its conversations with investors.
ValueAct says there is room for the platform holder to grow, both in the games space and as a broader entertainment company.
"We believe Nintendo will be one of the largest digital media services in the world, in a category with the likes of Netflix, Disney+, Tencent Interactive Entertainment and Apple Music," the company wrote.
It's worth noting Nintendo is already taking steps to broaden its offering, with projects like the Super Nintendo Land section of the Universal Studios theme park in Osaka, and the upcoming animated feature film from Despicable Me creator Illumination Entertainment.
The letter goes on to say Nintendo has not thrived as much as other games publishers such as EA and Activision, although its fortunes have improved over the course of the last ten years.
For more information and downloads, click here!
There are 0 comments - Join In and Discuss Here