Tencent denies Nexon acquisition reports

Chinese tech conglomerate Tencent has denied reports of its intention to acquire Nexon.

Tencent’s refute of the claim was reported by Reuters, just six days after the reports began to circulate.

Bloomberg sources had previously claimed the publishing giant had approached the family of Nexon’s late founder Kim Jung-ju to discuss a potential purchase, and that the family was consulting advisers to explore options.

There was no guarantee that Tencent’s pursuit would result in a deal, however.

Acquisition concerns

The Korean games industry admonished Tencent’s alleged attempt to acquire Nexon, one of the country's largest publishers. The Korea Game Society argued that allowing Tencent to acquire Nexon would have run counter to the Korean people’s "anti-Chinese sentiments".

"Tencent's attempt to acquire Nexon is not just a simple transaction between private companies - it is a strategic move to dominate one of the most important industries in Korea," read a statement from the Korea Game Society.

"This is a matter of national security that the government should not just neglect on the pretence of neutrality."

Tencent already holds stakes in major Korean games companies like Krafton, Netmarble, SM Entertainment and Webzen. It also has a significant 40% stake in Shift Up.

An acquisition of Nexon would not have been the first time the two companies struck a deal. The two firms have already partnered to release Nexon’s Dungeon & Fighter Mobile in China.

This version of the game, released two years later than its Korean counterpart, has already generated over $1.3 billion on the Chinese App Store alone since its May 2024 launch.