Tencent is considering a potential acquisition of Nexon, a notable South Korean game developer known for its successful title Dungeon & Fighter. According to a Bloomberg report, Nexon is significantly invested in the Web 3 gaming sector, particularly in the widely acclaimed MapleStory franchise.

The tech giant has reportedly reached out to the family of Nexon’s deceased founder, Kim Jung-ju, who holds a 44.4% stake in the company through the holding firm NXC Corp, to discuss the possibility of acquiring the firm.

Notably, discussions remain in early stages with no assurance that a deal will materialize, as stated by sources close to the situation.

If the acquisition is successful, Tencent would take control of a company valued at $16.6 billion, potentially revitalizing its intentions in global gaming mergers and acquisitions following a slowdown caused by regulatory challenges in China since 2020.

This deal would not only secure popular intellectual property for Tencent but also strengthen its foothold in the lucrative South Korean gaming market.

Acquiring Nexon might prove complex, as the founding family has managed their stakes to cover inheritance taxes since the founder’s death in 2022, complicating potential transactions.

In 2019, Tencent attempted to buy Nexon, but negotiations fell through over pricing disagreements. Now, with a fresh interest following its recent $1.3 billion investment in a new Ubisoft unit and a 10% stake in entertainment giant SM Entertainment, Tencent aims to expand within both the blockchain and gaming realms.