ByteDance, the Chinese technology conglomerate that owns TikTok, is reportedly in advanced negotiations to sell Moonton Technology, the developer of the popular mobile game Mobile Legends: Bang Bang. According to industry reports, the potential buyer is Savvy Games Group, a major gaming investment fund backed by Saudi Arabia’s Public Investment Fund. The deal is said to be valued between $6 billion and $7 billion.
Details of the Reported Negotiations
The talks are described as being at an advanced stage, though neither ByteDance nor Savvy Games Group has issued an official statement confirming the discussions. The reported valuation underscores the significant worth of Moonton’s flagship title, which is a major player in the global mobile esports and multiplayer online battle arena (MOBA) market. This potential acquisition represents one of the largest transactions in the mobile gaming sector in recent years.
Background on the Companies Involved
ByteDance acquired Moonton in 2021, integrating the game developer into its Nuverse gaming division. The move was part of a broader strategy to expand its footprint in the global gaming industry. However, ByteDance has since scaled back its gaming ambitions, making a divestment of Moonton a logical strategic shift.
Savvy Games Group, established with a nearly $38 billion investment mandate from Saudi Arabia’s sovereign wealth fund, has been aggressively acquiring stakes in the global games industry. Its portfolio includes significant investments in companies like Nintendo, Activision Blizzard, and Embracer Group. Acquiring Moonton would give Savvy direct ownership of a top-tier mobile game with a massive international user base, particularly in Southeast Asia.
Significance for the Mobile Gaming Market
Mobile Legends: Bang Bang is a cornerstone of the MOBA genre on mobile devices, frequently compared to titles like League of Legends: Wild Rift. It boasts hundreds of millions of users and supports a professional esports ecosystem with major international tournaments. A change in ownership to a deep-pocketed entity like Savvy Games Group could lead to increased investment in the game’s development, marketing, and esports scene, potentially altering the competitive landscape.
The deal also highlights the continued consolidation and high valuation of premium mobile gaming assets. Furthermore, it reflects the growing influence of Middle Eastern investment funds in the global technology and entertainment sectors, as they seek to diversify their economies and build strategic holdings in digital content.
Potential Implications and Next Steps
If completed, the acquisition would mark a major exit for ByteDance from a core gaming asset and a substantial expansion for Savvy’s direct development portfolio. Industry analysts will be watching for any potential operational changes at Moonton, though such a large-scale acquisition typically aims for stability and growth rather than immediate disruption.
The next expected steps involve the finalization of due diligence and the negotiation of definitive agreements. An official announcement from either ByteDance or Savvy Games Group could be forthcoming if the talks reach a successful conclusion. Regulatory approvals, particularly given the cross-border nature of the deal and the size of the transaction, will also be a key factor in the timeline and ultimate completion of the sale.
Source: GamesIndustry.biz
