Square Enix plans to split its studio shares
today is Square-Enix hosted an investor conference to discuss its latest trading results. A focal point was “improved capital efficiency,” as analyst David Gibson summed it up in a Twitter thread. could be possible Sales of Crystal Dynamics, Eidos Montreal, Square Enix Montreal and more was just the first step in a grand plan, because Diversification of its studio structure To take care.
Rising development costs will be an obstacle for Square Enix, forcing it to select resources and focus more. because of that you Check internally which of their own studios need changes, Square Enix will keep all the shares in some studios, while others will just want to participate. According to Gibson’s estimate, the latter would primarily affect overseas studios so that most resources could be devoted to Japanese productions.
Gibson describes the plan as extraordinary, after all, Square Enix has considerable capital – even greater after the Embraer Group deal was struck. Indeed, the company should have enough money for its purposes without having to sell shares in its studio. Additionally, Square Enix has expressed interest in expanding its portfolio of studios, raising questions about the strategy that has now been communicated. Investors, however, were impressed with the plan: the announcement led to an 11% increase in the share price.