Sony Group Corp. plans to strengthen its grip on Japan’s entertainment industry by acquiring a larger stake in publishing giant Kadokawa Corp. for 50 billion yen ($340 million).
The deal will make Sony the largest shareholder in Kadokawa with a 10% stake after the purchase of 12 million new shares is completed in January 2025. The investment builds on Sony’s initial shareholding acquired in 2021.
The alliance aims to boost both companies’ intellectual property portfolios globally, particularly in anime, gaming, and publishing. Kadokawa, known for its light novels and comics, will work with Sony to adapt its content into live-action films and TV shows for international audiences.
Kadokawa CEO Takeshi Natsuno said the partnership would enhance the company’s ability to distribute content worldwide. Sony’s president Hiroki Totoki emphasized the deal’s alignment with the company’s long-term entertainment strategy.
The collaboration comes as Japanese media companies seek to expand their global reach in the face of a shrinking domestic market. The partnership will also focus on virtual production development and joint creator discovery programs.
Sony’s investment follows its recent moves to consolidate its position in gaming and anime, including its $3.6 billion acquisition of Bungie in 2022.
