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Saudi Crown Prince’s EGDC Buys Additional 5% Stake in Capcom, Doubling Saudi Holdings
March 17, 2026Saudi Arabia’s Crown Prince, Mohammed Bin Salman, has acquired a 5.03% stake in Capcom through his Electronic Gaming Development Company (EGDC), bringing the kingdom’s total holding to roughly 10% and highlighting Saudi Arabia’s ongoing push into global video games investments.
The EGDC, a subsidiary of the Mohammed Bin Salman Foundation (Misk Foundation), purchased exactly 26,788,500 shares of Capcom, which equals a 5.03% ownership stake according to Japanese business site Gamebiz. This acquisition is distinct from the Saudi Arabian Public Investment Fund’s (PIF) prior 5% purchase made in 2022, indicating that the Saudi state and its leadership now control nearly a tenth of Capcom’s shares via two separate vehicles.
The EGDC was founded personally by Crown Prince Mohammed Bin Salman and operates as an investment arm for the Misk Foundation. Its stated purpose for the Capcom investment is, in Gamebiz’s words, “pure investment”, with profits from capital gains and dividends as the objective. Capcom, famed for franchises like Resident Evil, Street Fighter, and Monster Hunter, is considered a blue-chip Japanese game company and a major player in global games publishing.
Saudi Arabia’s Broader Gaming Investment Strategy
Saudi Arabia’s government, through its Public Investment Fund (PIF) and related entities, has rapidly expanded into the global games market. Recent years have seen a 5% stake in Capcom (2022), a controlling 96% acquisition of SNK, the studio behind King of Fighters and Fatal Fury, and investments in several other industry leaders.
As reported by VGC and Gamebiz, the PIF is currently pursuing a buyout of Electronic Arts (EA). If concluded by mid-2026 as planned, this would see the PIF own 93.4% of EA at an estimated transaction value of $55 billion USD.
Saudi officials have framed these investments as part of an economic modernisation strategy, seeking to “help to modernise the kingdom” by strengthening its presence in entertainment and e-sports. The deals, however, have drawn international scrutiny given Saudi Arabia’s widely condemned human rights record.
Ownership Structure and Statement Breakdown
- Capcom Shares Acquired by EGDC: 26,788,500
- Percentage of Capcom’s Total Shares: 5.03%
- Other Saudi Holdings in Capcom: 5% via Public Investment Fund (from 2022)
- Related Acquisition: 96% of SNK by EGDC (2022)
- EA Proposed Acquisition: 93.4% (pending, $55bn valuation)
Gamebiz quotes the rationale behind the new Capcom investment as “pure investment”, aimed at securing “profit from capital gains and dividends.” This position matches EGDC’s past approach to gaming firm acquisitions, typically focused on financial rather than operational control.
According to the original reporting:
- “The Electronic Gaming Development Company (EGDC) has acquired 26,788,500 shares of the company, which comes to around 5.03% of the total shares.”
- “It’s believed this new 5.03% stake is entirely separate from that transaction [the PIF’s 2022 5%].”
- “The purpose of this new share acquisition is said to be ‘pure investment’, with the aim being to make profit from capital gains and dividends.”
Controversies and Reputational Concerns
Saudi Arabia’s growing influence in the games sector coincides with ongoing international criticism over the kingdom’s human rights record. US Intelligence agencies have attributed the murder of journalist Jamal Khashoggi to direct orders from Crown Prince Mohammed Bin Salman. Amnesty International and other watchdogs report longstanding legal sanctions, including imprisonment, fines, or death penalty, against LGBTQI+ Saudis and activists campaigning for gender equality.
Industry observers and advocacy groups have raised concerns that Saudi investments in high-profile creative industries could be used for reputation-washing or to exert soft power. Khashoggi’s murder and the crackdown on dissent remain central points for critics of these international games investments.
Recent Saudi Holdings in the Gaming Industry
- Capcom: 10% (5% via PIF, 5.03% via EGDC)
- SNK: 96% (full control via EGDC since 2022)
- Proposed EA Acquisition: 93.4% (pending, $55bn estimated value)
Industry analysis suggests Saudi Arabia’s moves could see direct state influence over intellectual property and creative decision-making at some of the world’s most influential gaming companies.
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