Capcom Founder puts earnings into wine business

Capcom CEO Kenzo Tsujimoto does not wish to form an M&A deal following a rejected takeover proposal in mid-June

sf4_01

Capcom’s latest endeavor, Ultra Street Fighter IV. Image credit: Capcom

Kenzo Tsujimoto, CEO of Street Fighter and Resident Evil game publisher Capcom, according to reports has been putting his dividend earnings in Kenzo Estate, a winery in Napa Valley that was worth US$100 million back in 2010.

Tsujimoto has been fighting against an M&A of Capcom. The company reported that on June 16, in a shareholder meeting, it disapproved of a proposal to renew the company’s existing takeover defence, thereby preventing the company from being bought out via a hostile takeover.

According to a Business Journal article (via Eventhubs), there’s more to the board’s rejection, which probably has lead up to Tsujimoto’s side business. The company’s foreign shareholders from outside Japan would profit greatly from a mergers and acquisitions (M&A) deal instead of a takeover, as advised by the shareholder’s consultancy firm. In fact, 47.41 per cent of the Capcom board was in favour of renewing the plan, with 45.08 per cent of the company’s stock being owned by those foreign investors.

Also Read: SCE sponsors Tokyo Games Show 2014′s indie hour

However, there is no telling that if Capcom is acquired, it will help finance the CEO’s winery. That said, Capcom is going to re-propose the idea at the next year’s shareholders’ meeting, once again.

In a business field where you won’t know if a triple-A game on a console or PC can make it despite positive lamentations from the press and critics, investing in a side business that’s known to be stable is a sound idea to fall back on, as wine is a hot commodity for ages. This does put Capcom’s future shares in an uncertain position however.

Jonathan Toyad

If you want an elaborate answer on who would win in a fight between Ultraman and Godzilla, Jonathan Toyad is your man. A six-year veteran in the game journalism industry, he did words and videos for outlets such as GameSpot, GameAxis, IGN and Stuff.TV. Fears coyotes and scorched earths.

Related posts

  • Gammalad

    Well we have to get Nick’s grape juice from somewhere while we wait for AA6

Top