Techland bought by Tencent

[Couchpotato]

Apparently this wasn't good enough for front-page news but the developer of Dying Light, and Dead Island Techland was bought by Tencent this week.

Techland's next chapter and the road ahead

Exciting news that will mark the start of a new chapter of Techland’s history.

techland.net

 

[Redglyph]

Another Chinese-owned company.

And I see Tencent has 40% of Epic Games - as far as Wikipedia is correct. I wasn't expecting that.

 

[Couchpotato]

What's funny is the FTC and other worldwide equivalents went up in arms against Microsoft for buying Activision, but here we have Tencent quietly buying as well.

Also yes it was brought up it's a Chinese company so you could block for national interest, and like you said they are part owners of many western developer's.

 

[JDR13]

Well it was just announced today afaict, so most outlets probably just haven't reported it yet.

Not sure how I feel about it. Dying Light is a favorite of mine, but I didn't think the sequel was on the same level. Maybe this will benefit Techland enough financially to make sure their next game is as good as it can be.

Also, the official statement is that Tencent is now the "majority shareholder" of Techland. I'm not sure if that's the same thing as owning them outright.

 

[Couchpotato]

Good point it's probably how Tencent stays under the government radar and scrutiny. Much easier to buy 30-40% to become the majority shareholder instead of full owner.

 

[Redglyph]

Well, Tencent is to become the majority shareholder of Techland, which means at least half the shares and being able to impose most of the decisions except those requiring the qualified majority, so 2/3 or the ratio that was determined in the bylaws when the company was founded. That's how it works here anyway.

At least, they keep their IP and CEO.

 

[Couchpotato]

You need 50.1% of stock to be considered the owner in the US. It doesn't mean you can do whatever you want though. You still need to appease the other 49%.

Which is why if your smart stay private or only offer a small portion for stock.

 

[Alrik Fassbauer]

Tencent ? Isn't that this rapper ?

 

[Redglyph]

You need 50.1% of stock to be considered the owner in the US. It doesn't mean you can do whatever you want though. You still need to appease the other 49%.

Which is why if your smart stay private or only offer a small portion for stock.

I suppose you still have a lot of influence in most decisions, if not the final word?

Yes, I can imagine the ideal is to remain in control, unless you need more money and you can't emit new shares without giving up the majority. But if the company buying those shares has a good reputation and provides an interesting infrastructure, it's sometimes an additional motivation to get acquired. I'm sure there's a contract that provides enough guarantees for the acquired to feel safe.

 

[JDR13]

Tencent ? Isn't that this rapper ?

You would need to add 40 more cents.

 

[Couchpotato]

Tencent ? Isn't that this rapper ?

Facepalm no Tencent are the largest Chinese developer/publisher. Their revenue far exccefs Microsoft apparently,Vans they are buying many western companies.

Tencent - Wikipedia

en.m.wikipedia.org

From recent reports China's regulations are destroying their profits.