29 Mar 2010 14:44

Perfect World to acquire Japanese game company

Shanghai. March 29. INTERFAX-CHINA - Nasdaq-listed online game developer and operator Perfect World Co. Ltd. will pay $21 million to fully acquire its Japanese counterpart C&C Media Co. Ltd., Perfect World announced on March 26.

Under the deal, C&C Media will become a wholly-owned subsidiary of Perfect World.

Founded in 2001, C&C Media is a leading Japanese online game operator. Its current controlling shareholder is ATLUS Co. Ltd., a Japanese game publisher, developer and distributor.

Perfect World and C&C Media have cooperated on the operation of the Japanese version of Perfect World's 3D massively multi-player online role playing game (MMORPG), Perfect World, as well as two sword fight themed games, Zhu Xian and Chi Bi, since 2006.

According to analysts, the move exemplifies the shifting focus of Chinese online game companies toward overseas markets. Perfect World has already established a North American distribution subsidiary and plans to set up a European arm by the end of 2010.

The9 Ltd. invested approximately $20 million to acquire a majority stake in US-based online game developer Red 5 Studios on March 22. Interfax reported on Jan. 12 that Shanda Games Ltd. , the online gaming arm of Shanda Interactive Entertainment Ltd., acquired US-based casual game distributor Mochi Media for $80 million.

Online game exports generated total revenues of RMB 830 million ($121.6 million) for 2009, of which Perfect World contributed for 30.1 percent, followed by NetDragon WebSoft Inc. with 19.3 percent, SnailGame Co. Ltd with 13.3 percent, Dacheng Network with 8.4 percent and Kingsoft Corporation Ltd. with 6.0 percent, according to recent figures released by domestic consulting firm iResearch.