ByteDance Reportedly Nears Deal to Sell Mobile Gaming Unit to Saudi Arabia's Savvy Games

Alanbatnews -

ByteDance, the Chinese owner of TikTok, is reportedly in advanced discussions to sell its Shanghai Moonton Technology gaming unit to Saudi Arabia's Savvy Games Group in a deal valued between $6 billion and $7 billion, according to sources familiar with the matter.

The transaction could be finalized this quarter, one of the sources said. Another source indicated that the two companies have reached a preliminary agreement on the terms of the deal.

Shanghai Moonton Technology is known for developing mobile games such as Mobile Legends: Bang Bang.

Savvy Games Group, established in 2021, is a subsidiary of Saudi Arabia's Public Investment Fund (PIF), the sovereign wealth fund with approximately $1 trillion in assets, Bloomberg reported.

Bloomberg reported that ByteDance revived discussions to sell Shanghai Moonton Technology to the Saudi Arabian company at the end of 2025, four years after the Chinese company acquired the gaming unit for around $4 billion.

The sale of Moonton would mark another significant transaction in the video game sector, as companies compete to gain advantages in live streaming services to attract a large online user base.

The sources requested anonymity because they were not authorized to speak to the media. ByteDance, Moonton, and Savvy Games did not immediately respond to Reuters requests for comment.