Nintendo has started this new year by acquiring one of its close partners Next Level Games. The sum is yet to be revealed but one thing is for sure. Next Level Games will now become a wholly-owned subsidiary of Nintendo during March 2021.
Next Level Games is a gaming firm located in Vancouver and is a second-party partner of Nintendo, meaning it only works for Nintendo platforms. Next Level Games was already involved in Nintendo’s major franchises. It is known for its work on Luigi’s Mansion games. Other well-known projects of Next Level are Metroid Prime: Federation Force, Mario Strikers, and Wii reboot of Punch Out.
Luigi’s Mansion 3, a technically advanced game on Switch, was one of the latest achievements of Next Level. The game was launched in 2019 which was well received by the public. It became the biggest Switch launch of 2019 in the UK. The game’s shares were owned by its directors and employees. A large number of whom decided to sell the shares. It created the opportunity for Nintendo to cash in on the opportunity and make the firm its wholly-owned subsidiary.
The platform holder has its say on the acquisition, “we wanted to “secure” NLG’s development expertise and the availability of its resources, as well as facilitate an anticipated improvement in development speed and quality by enabling closer communication and exchange of staff with the Nintendo development team.“
Furthermore, Nintendo added that it will buy 100 percent of the shares of Next Level and it should only have “minor effects” on its earnings this fiscal year. The acquisition will now guarantee the availability of development resources and expertise of Next Level Games along with close communication and an employee exchange program.