According to individuals familiar with the matter, Tencent Holding Ltd. is in discussions to divest its investments in several Japanese video game studios, including Tokyo-listed Marvelous Inc. This move forms part of the company's broader initiative to reassess its worldwide investment portfolio.

The sources indicate that the Chinese gaming and social media giant is reviewing its minority stakes in numerous studios. In some instances, it is prepared to sell shares back to the original management teams, even if such transactions result in financial losses.

One insider explained that a key criterion for Tencent to exit an investment is whether the anticipated strategic synergies with the portfolio company have diminished. The sources requested anonymity as the discussions are private.

In a statement, Tencent affirmed that video games remain a core business. The company stated it will continue to collaborate fully with its portfolio companies and maintain a strong, long-term presence in Japan's gaming market.