Krafton invests in U.S. company to diversify business portfolios

Battlegrounds [Source : Krafton]

Krafton Inc., a South Korean video game firm behind PUBG: Battlegrounds, invested in a hybrid entertainment and technology company in the U.S. to seek synergy in its endeavor to expand its territory into entertainment and virtual reality content. The firm also plans to add various platforms for Battlegrounds.

According to sources in the investment industry on Sunday, Krafton invested in Trioscope, a U.S.-based firm behind Nextflix’s “The Liberator”. Trioscope is recognized for introducing a new lane of hybrid entertainment that fuses live action with computer graphics to create compelling visual worlds. Krafton did not reveal the specific amount of its investment but stated that it had continued seeking investments in global companies with promising capabilities.

[Source : Trioscope]

Krafton will likely team up with Trioscope in various areas, including game and content development. It is especially expected to add new media platforms, such as webtoons, web novels and movies, for its Battlegrounds game, which amassed more than 1 billion cumulative users worldwide. Although the game is one of the top IP games in the world, generating 94 percent of its overseas sales, there has been a concern over its high reliance on Battlegrounds. To ease the concern, the firm vowed to become more than just a gaming company when it went public in 2021, envisioning The Walt Disney Co. as a role model. The firm, which is said to have secured about 3 trillion won ($2.34 billion) for mergers and acquisitions, is speeding up its investments in firms to seek synergy in various areas. It acquired an American video game developer Unknown Worlds Entertainment for $500 million at the end of last year.

Krafton shares rose 0.29 percent to 173,000 won in the early session Monday.