But for Kadokawa themselves, they have shared a statement confirming that the potential deal between them and Sony has yet to be confirmed. Noting that they “received an initial letter of intent to acquire the Company’s shares,

Japanese media powerhouse Kadokawa said on Wednesday it had received a letter of intent to buy its shares, a day after a Reuters report that Sony was in talks to acquire the developer of the acclaimed "Elden Ring" fantasy game sent its stock soaring.

Sony Group Corporation is in talks to acquire fellow Japanese conglomerate Kadokawa, according to media reports that emerged this week. The firm's animation and games properties may underlie the possible M&A activity.