Savvy Games Group, the games and esports company from Saudi Arabia, announced an eight-year strategic plan. According to the press release, the company will set aside SAR 142 billion ($37.8 billion) for future investments.
Related: Saudi Arabia approves Microsoft’s acquisition of Activision Blizzard
The company is owned entirely by the Public Investment Fund (PIF), the sovereign wealth fund of Saudi Arabia. Savvy’s future strategy will include investing in games and esports to expand the industry’s growth, create opportunities, strengthen partnerships, and improve user experience.
Savvy intends to conduct a four-leg investment strategy as the company is said to acquire a leading game publisher for SAR 50 billion ($13.3 billion). Other minority stakes will also be bought for SAR 70 billion ($18.6 billion) in various firms. Industry disruptors will see a SAR 2 billion ($532 million) investment, and SAR 20 billion ($5.3 billion) will be invested in Savvy’s partners in the industry.
The statement shares that local investments are also considered, as the company plans to build 250 game companies in Saudi Arabia. With this move, Savvy expects to create 39,000 jobs and increase GDP contribution to SAR 50 billion ($13.3 billion) within eight years, until 2030.
Crown Prince Mohammed bin Salman, who’s also the Chairman of Board of Savvy Games Group, has shared his thoughts about the company’s future strategy:
“Savvy Games Group is one part of our ambitious strategy aiming to make Saudi Arabia the ultimate global hub for the games and esports industry by 2030. We are harnessing the untapped potential across the esports and games industry to diversify our economy, drive innovation in the industry, and further scale the entertainment and esports competition offerings across the Kingdom.”
The Public Investment Fund has been very active over recent years, acquiring a 5.01% stake in Nintendo and $1 billion worth of shares from Embracer Group. The fund also completed the acquisition of SNK, the company behind fan-favorite titles such as Fatal Fury, Metal Slug, and King of Fighters.
