Chinese tech and entertainment giant Tencent has increased its stake in Finnish games firm Remedy.
Per a new filing from the Control maker, Tencent now owns 14.8 per cent of the company via its Image Frame Investment financing vehicle. It looks like the Chinese firm bought at least some of these new shares from Working Capital Advisors, who owned 7.8% of Remedy as of March 31st, 2024.
Tencent now looks to be the second largest external shareholder in Remedy, coming only second to Accendo Capital, which – as of March 31st 2024 – owns 15.3 per cent of the Finnish firm. Tencent first invested in Remedy back in 2021; the Chinese firm snapped up 3.8 per cent of the Control company.
This news came ahead of Remedy reporting its finances for the first quarter of 2024. The company saw a 56.2 per cent increase in revenue for the period – clocking in at €10.8 million ($11.6 million). When it comes to EBITDA, Remedy is still in the red though this has reduced from €4.9 million ($5.2 million) to €1.2 million ($1.3 million) over the last 12 months.
"After the Control rights acquisition, we can freely choose the right model with which to grow our two franchises and expand the Remedy Connected Universe," CEO Tero Virtala told shareholders.
"When expanding high-quality franchises, each new game benefits from the success of its predecessors and the existing fan base. We continue seeking further focus and synergies across our games portfolio and operations. Soon we expect to have two game projects simultaneously in full production and one in the production readiness stage for the first time. We are confident that the good progress of the beginning of the year carries over to the full production stages."
