Nintendo stake in Saudi Arabia

Shares of Nintendo rose approximately 4% after reports indicated that Saudi Arabia's Public Investment Fund (PIF) is considering increasing its stake in the company, which currently stands at 8.58%. Prince Faisal bin Bandar of the PIF's Savvy Games Group expressed interest in expanding investments in Japanese gaming companies, aligning with Saudi Arabia's broader strategy to diversify its economy away from oil and establish itself as a global gaming hub. The PIF has already invested significantly in the gaming sector, channeling nearly $40 billion into Savvy Games, which aims to acquire and publish top-tier games. Analysts suggest that closer ties with Saudi Arabia could benefit Nintendo by expanding its global audience and opening new growth opportunities in the Middle East. Other gaming stocks, including Koei Tecmo and Capcom, also saw gains following this news. This move marks a strategic push by Saudi Arabia to enhance its presence in the gaming industry as part of its Vision 2030 initiative.