Sony has increased its stake in FromSoftware parent company Kadokawa to 10%, becoming the largest shareholder in the business, while the two corporations have entered into a "strategic capital and business alliance" according to a joint press release. It had been rumored for several weeks that Sony was in talks to fully acquire Kadokawa and thus its subsidiary, FromSoft, as well as a vast library of manga and anime properties.
According to the press release, Sony spent 50 billion yen ($317 million) to increase its stake in Kadokawa from 2% to 10%—back of the napkin math thus has the company's overall value at just under $4 billion. The two companies say they "plan to discuss specific initiatives for collaboration, such as initiatives to adapt Kadokawa's IP into live action films and TV dramas globally, co-produce anime works, expand global distribution of Kadokawa's anime works through the Sony group, further expand publishing of Kadokawa's games, and develop human resources to promote and expand virtual production."
