Saudi Arabia's PIF Is Reportedly Now Nintendo's Biggest Outside Investor

[Down by Law]

https://www.nintendolife.com/news/2023/02/saudi-arabias-pif-is-reportedly-now-nintendos-biggest-outside-investor

 

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Update [Fri 17th Feb, 2023 13:50 GMT]: Following stories earlier this week of further increases in the PIF's investment in Nintendo, Bloomberg now reports that Saudi Arabia's Public Investment Fund now holds 8.3% of Nintendo, according to filings. This makes it the company's largest shareholder outside of Japan.

According to Bloomberg's data, this puts the PIF holding ahead of Japan's Government Pension Investment Fund stake in Nintendo, and comes second only to Nintendo's own shareholding.

 

Original Story [Thu 16th Feb, 2023 11:30 GMT]: After reports in January that Saudi Arabia's Public Investment Fund (PIF) upped its stake in Nintendo from 5.01% to 6.07%, a new filing suggests that the percentage has been increased again by more than a point.

As reported by Trading View (thanks, VGC), this second increase takes the sovereign wealth fund's overall investment in the Kyoto company to 7.08%.

 

Tears of the Saudi Kingdom anyone?

 

They have also bought more shares in EA and Take 2, so a bit of a spending spree by all account.

[Scribblor]

Well...  shit.  That's going to lead to some tough decisions in the future.

[Giddas]

The majority of electronic components are made in China, how far can the purity test realistically go?

[Down by Law]

When you consider that Nintendo spent $912 million buying 1.5% of the companies shares back in 2021, then this 3% jump is a fucking mind boggling, insane amount of money. Makes the Nintendo is doomed posts everytime they start a new hardware cycle seem even more ludicrous

[Gotters]

How far do people want to take their personal ethical choices - it's quite easy on something like the Hogwarts game, but this is harder as PIF are so wide reaching.

 

A quick look on Wikipedia claims PIF have stakes in Capcpm, EA, Take 2, Activision & Softbank (who in turn will be invested all over the place).

 

Beyond that they have 5% in Uber, a stake in Boeing, Disney. That'll ruin many peoples holidays getting to the airport and flying somewhere whilst watching a movie in the air.

 

Of course if you want to you can boycott anything they touch, making you feel better about your choices, but not sure in the wider scheme of things what it actually achieves. 

[Wiper]

20 minutes ago, Gotters said:

Beyond that they have 5% in Uber, a stake in Boeing, Disney. That'll ruin many peoples holidays getting to the airport and flying somewhere whilst watching a movie in the air.

 

To be fair, as far as Uber is concerned you really don't have to go anywhere near as far as considering their investors before finding solid ethical grounds for boycotting them.

 

More generally though, as far as 

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How far do people want to take their personal ethical choices[?]

 

Goes, the self-evident answer is "as far as they are personally willing".

[MechE]

I wouldn't spend too much time agonising about this. Saudi Arabia is pretty much forced to convert as much of their wealth into international investments ever since they discovered oil. This is to stop their local currency from massively devaluing (similar to why Norway has a huge sovereign wealth fund). 

 

They've been doing this since the 40s which means there's practically no part of the modern world that isn't touched by their investments. Even investment funds that look completely separate from Saudi wealth will often have a lot of their sources KSA.

 

I agree it sucks, but singling out Nintendo here doesn't really make sense (unless you're a filthy Sonic fanboy).

[Gotters]

1 minute ago, Wiper said:

 

To be fair, as far as Uber is concerned you really don't have to go anywhere near as far as considering their investors before finding solid ethical grounds for boycotting them.

yeah, I've never been in one and wouldn't touch em with a bargepole but it's an example of PIFs reach

[Scribblor]

It's a tough question, for sure, but I think it's one worth engaging with (not that you suggested otherwise) and everyone's got their own limits. Honestly, for me, it's less about whether someone actually boycotts those companies or games, and more about whether they consider it. If they have a personal deliberation and decide they're going to buy the latest Madden even though they'll be funding baddies, that's at least being engaged with the topic.

 

It's people who just don't want to even think about it, or who don't care at all, who boil my piss.

[bradigor]

I already boycott Activision out of those and don't really bother with much AAA but it does make me stop and think how much I really really must play a certain game. 

 

I do wish I didn't know how the sausage was made sometimes.

[Scribblor]

Whenever I'm at a studio trying to find a publisher, it's an absolute nightmare, as I'm never anyone with enough power to make a decision of that importance.

 

I don't know what I'd have done if I was at Avalanche. I'd like to think I'd have exited ASAP, but now that I'm out of 'normal' design and into narrative and writing, decent positions are pretty rare, so it's possible I wouldn't have been able to find another at all.

 

I definitely couldn't have just quit, and returning to a level or systems design position would feel like a huge step back, career wise.

[memories]

Someone might as well post the "but yet you participate in society" meme just to get it out there.

[Clipper]

THere are obviously very tricky ethical choices if you want to game at all so pick your own ethical path that you are comfy with.

 

I personally don't touch Ubisoft or Activision, I rarely touch EA as their games generally don't appeal to me. Ubisoft and Activision were tricky choices as I did like a bit COD now and then and Assassins Creed.I mostly play indie stuff now but I do like the odd Nintendo exclusive (usually Mario stuff)

 

I've also posted before about being a Newcastle United fan and how troublesome I find the (VERY!). Nintendo have bothered me for a bit, working practices not ideal (I realise it is a cultural thing but you can say the same for the dodgy shit in Xenoblade) - which brings me to the really dodgy shit in Xenoblade Chronicles and now Saudi investment.

 

I think I will start to refer to it as the ick factor. IF I go to make a purchase and the company/working practices/abuse/investments make me go ick enough I'll pass.

 

In other news can someone find some REALLY dodgy dirt on Sony so I can avoid dropping a grand on the PSVR2 and PS5 the FOMO is killing me

 

[yakumo]

It's worth noting that the Saudi Wealth Fund has never been known for investing with any particular political agenda. It's the royal family taking all their oil money and investing it for a future where they know oil won't always cover them.

 

Yes Saudi Arabia is evil. No this isn't likely to have any impact on Nintendo.

[dave7g]

Gross. No morality anywhere when it comes to money. It's sickening that companies willingly take money from these absolute scumbags.

[Gabe]

2 minutes ago, dave7g said:

Gross. No morality anywhere when it comes to money. It's sickening that companies willingly take money from these absolute scumbags.

You do realise Nintendo can't control who buys their shares on the open market, right? There is nothing they can do to stop this other than, I suppose, a plea to shareholders not to sell to the KSA. And they aren't going to do that.

[dave7g]

Oh sure, but companies like WWE for example take millions and then air what is actual propaganda on their shows for money.

 

It doesn't seem to get the outrage it deserves really and truley

[yakumo]

3 minutes ago, dave7g said:

Oh sure, but companies like WWE for example take millions and then air what is actual propaganda on their shows for money.

 

It doesn't seem to get the outrage it deserves really and truley

WWE ethical hahahahahahhaahaha

[kris_doe]

3 minutes ago, dave7g said:

Oh sure, but companies like WWE for example take millions and then air what is actual propaganda on their shows for money.

 

It doesn't seem to get the outrage it deserves really and truley

WWE not exactly the most stand up company in the first place 

[dave7g]

1 minute ago, kris_doe said:

WWE not exactly the most stand up company in the first place 

If you dig a little deep on WWE and McMahon you would be shocked at what they've done over the years.

[yakumo]

17 minutes ago, dave7g said:

If you dig a little deep on WWE and McMahon you would be shocked at what they've done over the years.

We all know.

[HarryBizzle]

31 minutes ago, dave7g said:

Gross. No morality anywhere when it comes to money. It's sickening that companies willingly take money from these absolute scumbags.

Nintendo is a publicly traded company. Anyone eligible can buy shares and they can’t vet them as far as I’m aware. 

[SozzlyJoe]

These dudes so into games now they are making Deus Ex IRL

 

 

[jonamok]

Is that monstrosity before or after they build that massive, country-wide wall city?

[phillv85]

What are they actually planning to put in these monstrous buildings? It’s one thing making a fucking huge building with your countries’ investment fund, a totally different thing entirely making economically beneficial use of the space.

 

Edit: Still, I’d rather they pissed their money away on this than investing in video game companies.

[Eighthours]

21 hours ago, yakumo said:

It's worth noting that the Saudi Wealth Fund has never been known for investing with any particular political agenda. It's the royal family taking all their oil money and investing it for a future where they know oil won't always cover them.

 

Yes Saudi Arabia is evil. No this isn't likely to have any impact on Nintendo.

Yes, this is the reasoning for my general position on this kind of thing. If Mario is suddenly shouting, ‘Saudi Arabia, it’s-a great!’ in every game then that’s everything fucked, but if this investment has no impact on the content or direction of Nintendo’s games, then it’s just one of those things to regard with a sigh and move on with my life. While enjoying Nintendo’s games as usual.

[HarryBizzle]

50 minutes ago, jonamok said:

Is that monstrosity before or after they build that massive, country-wide wall city?

After the wall but before they get around to alleviating the poverty that 20% of their population lives in. 

[James Lyon]

Looking forward to Wario Land: The Sheikh Dimension.

[probotector]

Y’all citizens of maybe the bloodiest and cruelest empire the world has ever known. No corner of the world has been spared being plundered and raped in the name of freedom.

 

Saudi Arabia owning a few shares in a toy company originating from another blood thirsty and cruel empire should be the least of your concerns! 
 

 

[Gabe]

Yes, comparing the awful and cruel exploits of the British & Japanese Empires from (at least) 70+ years ago is definitely a reason nobody should dare comment about what the Saudi regime is doing right now.