Gaming division sold to Game Yaro for one yen.
by John Tanaka
January 20, 2009 - Jaleco Holdings announced late last week its departure from the video game business. The firm will now focus on financial services.
As of January 15, Jaleco Holdings's Jaleco games subsidiary became the wholly owned property of Game Yaro. Previously, Jaelco Holdings and Game Yaro worked together in online business.
The total sale price was just one yen, but Game Yaro will also be taking on 700 million of Jaleco Holding's 1.69 billion yen investment in Jaleco. Jaleco Holdings will incur a loss for the remaining amount.
In a statement issued on the 15th, Jaleco Holdings made note of tough competition and a shrinking market as reasons for its departure from gaming. The firm also noted that with rare exception, sales for most Jaleco titles were too low for the compay to even recoup development costs.
As Game Yaro has yet to make a statement on the matter, the state of Jaleco's current projects in development is unclear. For Wii owners in particular, Jaleco has one notable title in Ougon no Kizuna (unofficially, Golden Bonds). This game received multiple previews in Japanese magazines following its announcement last year.