Krafton acquires a 39.37% stake in Neptune from Kakao Games for $114.9 million, becoming the largest shareholder and expanding its gaming portfolio.
In a strategic move to diversify its gaming portfolio, Krafton Inc., the South Korean gaming giant famous for PUBG: Battlegrounds, has announced the acquisition of a 39.37% stake in Neptune Inc. from Kakao Games. The deal is set for 165 billion won (approximately $114.9 million). This transaction, expected to be finalized by June 30, will elevate Krafton’s ownership in Neptune to 42.53%, making it the largest shareholder of the game developer.
Neptune: A Rising Star in Game Development
Founded in 2012 by Jeong Wook, former CEO of NHN Hangame, Neptune has carved a niche in the gaming industry with its focus on casual puzzle games and the popular battle royale franchise, Eternal Return. In 2024, Neptune reported impressive financials with revenues of 121.6 billion won and an operating profit of 9.6 billion won.
Krafton’s Record-Breaking Q1 2025 Performance
Krafton’s acquisition comes on the heels of a stellar first quarter in 2025. The company reported a net profit of 371.5 billion won, marking a 6.6% increase from the previous year. Operating profit rose by 47.3% to 457.3 billion won. There is an increase in sales by 31.3% to reach 874.2 billion won. These figures surpassed market expectations, underscoring Krafton’s robust performance in the gaming sector.
Driving Forces: PUBG and inZOI
One of the major contributors to this impressive financial results is the ongoing success of PUBG: Battlegrounds. And the other one is the launch of Krafton’s new life simulation game, inZOI. On the PC platform, PUBG maintained strong live-service microtransaction sales, while inZOI contributed significantly to the company’s robust quarterly performance. In the mobile segment, premium item sales and strategic collaborations propelled growth, with Battlegrounds Mobile India showing particularly strong results.
Strategic Implications of the Neptune Acquisition by Krafton
By acquiring a significant stake in Neptune, Krafton aims to secure mid- to long-term growth engines through business diversification. The move is expected to enhance Krafton’s capabilities in developing casual and battle royale games. It will be able to leverage Neptune’s expertise and successful titles.
Kakao Games’ Strategic Shift
Kakao Games’ decision to divest its stake in Neptune aligns with its strategy to concentrate on core business areas. The company stated that the sale is part of a “choice and concentration” approach to strengthen its competitiveness in the global game business, focusing more on mobile, PC online, and console platforms.
Looking Ahead
Krafton’s acquisition of Neptune will bolster its position in the gaming industry, expanding its portfolio and tapping into new market segments. With the integration of Neptune’s innovative game development capabilities, Krafton is in best position to deliver diverse and engaging gaming experiences to a global audience.
If you’re looking to promote your products and connect with international buyers, please don’t hesitate to contact us.
