Company behind WeChat buys controlling stake in Clash of Clans developer for $8.75b

Clash of Clans

Tencent, the company behind popular messaging platform WeChat and Chinese internet provider QQ, has announced that they’ve purchased a controlling stake in Clash of Clans creator Supercell for $8.57 billion.

As a result of the transaction, Supercell is now being valued at $10.2 billion, according to the Wall Street Journal, the publication that initially reported the story. WeChat now owns 73 percent of Supercell, expanding its stake in the company significantly after purchasing 51 percent of the developer in 2013.

“We want Supercell to be the world’s best place for creative people to create games,” said Supercell CEO Ilkka Paananen in a statement. “At the same time, this new partnership offers us exciting growth opportunities in China, where we will be able to reach hundreds of millions of new gamers via Tencent’s channels.”

Tencent also owns Riot Games, the studio behind the monumentally popular free-to-play PC title League of Legends, the highest-grossing PC game in the world.

Finnish developer Super Cell is also behind other free-to-play titles like Boom Beach, Clash Royale and Hay Day.

[source]Wall Street Journal[/source]