In recent days, Nintendo’s shares have risen in value and now it was revealed why. It turns out that ValueAct Capital Partners LP invested more than $ 1,100 MDD in Nintendo stock. This with the intention of helping her become as big as Netflix or Tencent.
According to . information, ValueAct Capital Partners began acquiring Nintendo shares in April 2019. That said, during the sale of shares in February and March its stake in the company increased.
In a letter it sent to its investors, ValueAct noted that Nintendo’s future is “bright.” He sees this as seeing the opportunity for growth in the software business and seeing the opportunity to transform Nintendo into a much broader entertainment company.
Nintendo stock (NTDOY) up 4.20% on the news.
Ultimately it’s a small stake in the firm. Could provide valuable guidance as Nintendo continues its digital transformation in software and services. pic.twitter.com/4DIwlyutpc
– Daniel Ahmad (@ZhugeEX) April 21, 2020
“We believe Nintendo will be one of the largest digital media services in the world, in a category with companies like Neftlix, Disney +, Tencent Interactive Entertainment and Apple Music,” ValueAct explained.
Something that is striking is that, although ValueAct recognizes that Nintendo has improved in its last years, it still does not prosper as companies of the likes of Electronic Arts and Activision. That said, he believes he is going through a transition that will pay dividends to investors.
Who is ValueAct Capital?
You most likely don’t know what ValueAct Capital is and that’s normal. After all, this is an investment group that is little known in the video game world.
It is for this reason that we tell you that ValueAct Capital is an investment company founded in 2000 and which is based in San Francisco, California. It is a large group which has an investment portfolio with a value of approximately $ 9269 MMDD.
Interestingly, ValueAct Capital has invested in companies like Microsoft and Adobe. We will see what this experience translates into your investment with Nintendo.
Follow this link to see more news related to Nintendo.