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Report: Kadokawa acquires Dark Souls developer From Software

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Kadokawa plans to purchase majority stake in Dark Souls and Armored Core series developer From Software, the Japanese corporation announced, where the developer will become a wholly owned subsidiary of the Kadokawa group.

Kadokawa will purchase 80 percent of From Software stock and the deal is expected to be finalized on May 21, 2014. Once From Software becomes a Kadokawa subsidiary, it will work alongside Kadokawa Games to develop the company's games and create new IP. The companies will also focus on the growing markets offered by the new game platforms and western markets.

Famitsu reports that the acquisition was initially revealed during Kadokawa's latest Board of Directors meeting held on April 28. According to the Famitsu report, translated by Siliconera, From Software CEO Naotoshi Zin said the acquisition will allow them to expand other platforms, from "simple hardware to cloud network." He added, "With a new system, from this point on, I believe we'll be able to make newer and more in depth games."

From Software's latest release, Dark Souls 2, recently launched in western markets for PlayStation 3 and Xbox 360 on March 11, followed by a Windows PC version on April 25. While From Software's games were published to western markets by Bandai Namco or Sega, it self-published its titles in Japan.

Kadokawa's internal development team recently released Natural Doctrine in Japan earlier this month and is expected to launch in western markets in Q3 2014 for the PlayStation 3, PlayStation 4 and PS Vita. Kadokawa Games also recently developed dungeon crawler Demon Gaze in conjunction with Experience Inc. for the PlayStation Vita.

Demon Gaze was released in Japan by the Kadokawa's video game publishing arm last January and published in North America and Europe by NIS America this month. The publisher has released numerous titles in Japan, including developer Grasshopper Manufacture's Lollipop Chainsaw and Killer is Dead.