Scopely said it would buy Niantic’s video game business, which includes Pokémon Go, for $3.5 billion. Saudi Arabia’s sovereign wealth fund acquired Scopely in 2023.

Niantic, the company behind the runaway hit Pokémon Go, said Wednesday that it has agreed to sell its video game business for $3.5 billion to Scopely, a company owned by the Saudi sovereign wealth fund.

Scopely was acquired for $4.9 billion in 2023 by the Savvy Games Group, which was launched a year earlier by the Saudi sovereign wealth fund to lead its push into video games, including e-sports. The Saudi government has said it will invest $38 billion in video games by 2030 through the Public Investment Fund.