Tencent Reportedly In Talks With SoftBank To Buy Majority Stake In Supercell

(RTTNews) - Chinese Internet major Tencent Holdings Ltd. (TCEHY.PK ) is in talks with SoftBank Group Corp. (SFTBF.PK ) to buy the Japanese telecommunications giant's majority stake in Supercell Oy, the Finland-based maker of some of the world's most popular mobile games, the Wall Street Journal reported citing people familiar with the matter.

Tencent's talks with SoftBank are still at an early stage, and it isn't clear whether SoftBank is currently in talks with other parties, the report said.

SoftBank acquired a 51% stake in Supercell--maker of the farm simulator game "Hay Day" and combat simulator "Clash of Clans"--for $1.53 billion in 2013. The Japanese company last year raised its stake to 73%, but didn't disclose how much it paid. The report said the Finnish games company was valued at around $5.25 billion last year.

Last fall, Chinese online-game developer Giant Interactive Group teamed up with Alibaba Group Holding Ltd. and held talks with SoftBank and Supercell over an acquisition, the report said. While Alibaba and Giant are still interested, price has been a sticking point, the report said.