TOKYO (AP) — Sega Sammy is promoting its resort complicated Seagaia to Fortress Funding Group of the U.S., the Japanese leisure firm mentioned Friday.
Tokyo-based Sega Sammy Holdings, the corporate behind the “Sonic the Hedgehog” video video games, mentioned it’ll promote all its shares in Phoenix Resort Co., which operates Seagaia in Miyazaki, southwestern Japan.
Monetary phrases of the deal weren’t disclosed.
The transfer, authorised by the Sega Sammy board of administrators, will end in a achieve of about 8.5 billion yen ($55 million) in extraordinary earnings for the fiscal yr by way of March 2025.
New York-based Fortress was chosen, Sega Sammy mentioned in an announcement, due to its expertise for the reason that firm has acquired 176 resorts since 2011.
Sega Sammy will proceed to work with Phoenix, buying 20% of voting rights by way of newly issued shares after the possession sale is accomplished.
Additionally Friday, Sega Sammy reported its revenue fell within the fiscal yr that resulted in March, to 33 billion yen ($212 million), from 45.9 billion yen the yr earlier than. Its gross sales rose 20% to 467.8 billion yen ($3 billion).
Sega Sammy has varied leisure operations, together with video video games like “Persona 3 Reload,” which recorded 1 million downloads within the first week after its launch in February, and the older however nonetheless well-liked “Indignant Birds” and “Like a Dragon.”
It additionally makes toys and pachinko and so-called “pachislot” machines, and owns mental property in animation works.
The corporate is banking on its Sonic licensing income by way of video games and films, a sector that has grown 10-fold within the final 5 years.
Though Sega Sammy’s resort operations just lately returned to profitability, they suffered in the course of the pandemic, when journey to Japan and inside the nation was disrupted.
By turning over administration of Seagaia to Fortress, Sega Sammy intends to raised give attention to its core strengths like video video games.
Fortress is majority owned by Japanese telecoms and know-how firm SoftBank Group Corp., although the Abu Dhabi funding fund Mubadala introduced in Might 2023 that it might purchase a majority stake in Fortress Funding from SoftBank. The deal has but to be finalized as a consequence of regulatory necessities.
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