Square Enix eyeing new acquisition?

When companies want to make large investments, they often raise cash by selling corporate bonds — which is what Square Enix is currently in the process of doing. The Japanese game company just issued a 35 billion yen ($386 million) bond and industry analysts smell acquisition in the air. Hiroshi Kamide of KBC Securities Japan had this to say: “The cost of borrowing monies is so low in the world at the moment that Square Enix is being opportunistic in raising funds on the cheap today, just in case it feels like shopping for something.”

Of course, the reason Squeenix is raising so much money could be a lot less exciting – the company does, in fact, have about 50 billion yen ($552 million) in oustanding debt that needs to be repaid by fall of next year. But, before issuing the bond, Square Enix had a cool 80 billion yen in its corporate coffers – with more than enough to repay their debts, its quite likely that the company is looking at acquiring another firm in the videogame industry.

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