Niantic in Talks to Sell to Saudi Firm Behind Stumble Guys

Niantic, the developer behind the wildly popular augmented-reality mobile game Pokémon Go, is reportedly in discussions 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 a Bloomberg report, this potential sale would include Pokémon Go, which has captivated millions of players worldwide by encouraging them to venture outdoors to catch Pokémon.

An anonymous source cited by Bloomberg mentioned that although the deal is not finalized, it could be confirmed within weeks if it receives the necessary approvals. Niantic, Scopely, and Savvy Games Group have all remained tight-lipped, refraining from making any public comments on the rumored acquisition.

This potential deal follows Savvy Games Group's acquisition of Scopely in April 2023 for $4.9 billion, a move that aligned with the Saudi Arabian government's expressed interest in purchasing "a leading games publisher." Scopely is known for its successful mobile games such as The Walking Dead: Road to Survival, Stumble Guys, Marvel Strike Force, and Monopoly Go.

Savvy Games Group's aggressive expansion in the gaming industry also includes its 2022 purchase of two of the largest esports companies, ESL and FACEIT, for a combined total of $1.5 billion.

Saudi Crown Prince Mohammed bin Salman bin Abdulaziz outlined the ambitious vision behind these acquisitions, 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.”