Sega Merger Canned, but Sammy Splashes the Cash
Huge chunk of Sega acquired – all eyes on coin-op.
Sammy has announced a massive programme of asset-swallowing of Sega, with the news emerging this morning from Japan that the Guilty Gear-famed pachinko giant has bought up an astonishing 22.4% stake in Sega.
This incredible news follows the canning of the planned merger between the two Japanese giants, which was scheduled to be completed by the end of this year.
Sammy has splashed out an amazing $421 million on its Sega shopping spree, acquiring all of the stock to date from Sega’s long-time reluctant parent company CSK. Sammy also announced plans to take more of Sega’s stock in the coming weeks and months. Having bought all of CSK’s shares, Sammy is expected to move onto the open market, perhaps within days.
Exactly what impact this will have on Sega’s focus and direction remains to be seen, though it is thought that, as Sammy consumes more and more of Sega, the company will try and shape Sega in its own image.
Sammy has deep ties to the somewhat shady all-cash, Yakuza-infested Japanese coin-op scene. It is Sega’s massive presence in this industry that initially attracted CSK’s interest, and the same can be said for Sammy, a massive player in the hugely popular pachinko scene.
Given that Sega recently announced pleasing half-year results, buoyed no end by an increasingly resurgent arcade interest, will Sammy, with its ever-swelling power within Sega, push the firm away from the home market and try and force an arcade-driven business model?
Only time will tell. Expect updates on all Sega acquisition action as it happens.
This incredible news follows the canning of the planned merger between the two Japanese giants, which was scheduled to be completed by the end of this year.
Sammy has splashed out an amazing $421 million on its Sega shopping spree, acquiring all of the stock to date from Sega’s long-time reluctant parent company CSK. Sammy also announced plans to take more of Sega’s stock in the coming weeks and months. Having bought all of CSK’s shares, Sammy is expected to move onto the open market, perhaps within days.
Exactly what impact this will have on Sega’s focus and direction remains to be seen, though it is thought that, as Sammy consumes more and more of Sega, the company will try and shape Sega in its own image.
Sammy has deep ties to the somewhat shady all-cash, Yakuza-infested Japanese coin-op scene. It is Sega’s massive presence in this industry that initially attracted CSK’s interest, and the same can be said for Sammy, a massive player in the hugely popular pachinko scene.
Given that Sega recently announced pleasing half-year results, buoyed no end by an increasingly resurgent arcade interest, will Sammy, with its ever-swelling power within Sega, push the firm away from the home market and try and force an arcade-driven business model?
Only time will tell. Expect updates on all Sega acquisition action as it happens.
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