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

Niantic, the developer behind the wildly popular augmented reality 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, this potential deal would encompass Pokémon Go, which has revolutionized mobile gaming by encouraging players to explore the real world in search of Pokémon.

A confidential source speaking to Bloomberg revealed that while the deal is not finalized, it could be confirmed within weeks if all parties give the green light. However, Niantic, Scopely, and Savvy Games Group have all remained tight-lipped about the rumored acquisition.

This move comes on the heels of Savvy Games Group's acquisition of Scopely in April 2023 for $4.9 billion, following the Saudi Arabian government's declaration of intent to acquire a leading games publisher. Scopely is known for its successful mobile titles such as The Walking Dead: Road to Survival, Stumble Guys, Marvel Strike Force, and Monopoly Go.

Savvy Games Group has been actively expanding its portfolio, having also purchased two of the world's leading esports companies, ESL and FACEIT, in 2022 for a combined total of $1.5 billion.

Saudi Crown Prince Mohammed bin Salman bin Abdulaziz has articulated a bold vision for the region, 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.” He further emphasized the Kingdom's strategy to leverage the esports and games industry to diversify the economy, spur innovation, and expand entertainment and esports offerings across Saudi Arabia.