SNK Corporation

SNK Corporation officially delisted its Korean Depositary Receipts (KDR) from the Korea Exchange (KOSDAQ) on May 18, 2022. This action follows a strategic acquisition process initiated by Electronic Gaming Development Company (EGDC), a wholly-owned subsidiary of the Mohammed Bin Salman Bin Abdulaziz Al Saud Foundation. The delisting marks the conclusion of SNK’s presence on the KOSDAQ market, where it had been listed since May 7, 2019.

The transition was driven by a successful tender offer conducted by EGDC between December 17, 2021, and February 10, 2022. By February 15, 2022, EGDC had secured 20,256,653 KDRs, representing a 96.18% ownership stake in the company. This concentration of shares triggered the delisting criteria established by the Korea Exchange. Following a formal resolution at an extraordinary general meeting of shareholders on April 14, 2022, the company applied for delisting, which received regulatory approval on May 4, 2022.

Moving forward, SNK will transition into a wholly-owned subsidiary of EGDC through a squeeze-out process involving the acquisition of all remaining outstanding shares. This corporate restructuring is intended to consolidate ownership under EGDC, which aims to enhance the company’s long-term enterprise value and operational development. The delisting signifies a shift in the company’s capital structure as it integrates fully into the investment framework of its parent organization.

SNK Corporation officially delisted its Korean Depositary Receipts from the KOSDAQ market on May 18, 2022, marking the conclusion of its status as a publicly traded company in South Korea. This transition follows a strategic acquisition process initiated by the Electronic Gaming Development Company (EGDC), a wholly-owned subsidiary of the Mohammed Bin Salman Bin Abdulaziz Al Saud Foundation. The acquisition aligns with EGDC’s objective to enhance the corporate value of the Osaka-based developer by integrating it into a broader portfolio focused on media, culture, and technology.

The delisting process was triggered by a successful tender offer conducted between December 2021 and February 2022. Following this period, EGDC secured a 96.18% ownership stake in the company, representing over 20 million Korean Depositary Receipts. This significant concentration of ownership met the criteria for delisting under KOSDAQ market regulations. Consequently, an extraordinary general meeting of shareholders held in April 2022 approved the application for delisting, which received formal approval from the Korea Exchange in early May.

Moving forward, EGDC intends to exercise its right to request the sale of all remaining shares to become the sole owner of the company. This move transforms SNK into a private, wholly-owned subsidiary, ending a public listing period that began in May 2019. The company intends to focus on long-term growth and social contribution under its new ownership structure while maintaining its corporate headquarters in Suita, Osaka. This shift reflects a broader trend of private investment within the global gaming industry, specifically involving capital from the Middle East aimed at diversifying technological and cultural assets.

SNK Corporation, headquartered in Suita, Osaka, announced a significant expansion of its leadership team through the appointment of two new outside directors effective April 14, 2022. This strategic move aims to strengthen the company’s corporate governance and global operational expertise by integrating seasoned executives from the gaming and professional services industries. The appointments reflect a focus on high-level human resource development and recruitment at the executive level to support the company's long-term growth objectives.

The first appointee, Naoya Tsurumi, brings extensive experience from the video game industry, specifically from his long tenure at Sega. His background includes serving as CEO of Sega Publishing Europe and Sega Holdings U.S.A., as well as President and COO of Sega Corporation. His career highlights a deep understanding of international market dynamics and executive management within major gaming conglomerates. His presence on the board provides SNK with specialized knowledge in global publishing and entertainment management.

The second appointee, Shiro Uchida, offers a robust background in global finance, consulting, and technology leadership. Having held senior roles at KPMG, PricewaterhouseCoopers, and IBM Business Consulting Services, Uchida eventually served as the President of BearingPoint and the Chairman of SAP Japan. His expertise in large-scale organizational management and digital transformation provides a complementary skill set to the board. Together, these appointments signify SNK’s commitment to diversifying its leadership with individuals who possess proven track records in navigating complex international business environments and large-scale corporate structures.