Nintendo stockholders realized that Pokemon GO wasn’t made by them
The house of Mario lost billions after stockholders realized that the extremely popular mobile game Pokemon Go wasn’t created by Nintendo. Just a few days after trading a record amount of stock at the Tokyo Stock Exchange.
July 11th (the day Pokemon Go launched) Nintendo traded 12 billion in stock. In an announcement on Friday the company came clean with investors and announced they hadn’t made the game. They instead own a 32% stake in the Pokemon Company that licenses the popular characters to outside developers and Nintendo will only see a small amount of the revenue from the game. Leading to a loss of about $6 Billion or an 18% loss. The largest loss for Nintendo since at least 1990 as reported by Bloomberg. Not totally devastating for a company that mostly seems to do what it likes anyway.
It’s easy to associate Nintendo with the Pokemon franchise. The company handled publishing for the games since its creation and owns a third of the company. However they just had to say they didn’t make the game to lead investors to pull out. Investors admittedly should have done some more research in the first place.