How to Buy Epic Games Stocks

Can I Buy Epic Games Stocks?

Currently, individual investors cannot purchase shares in Epic Games, as the company remains privately held. Established in 1991 by Tim Sweeney, Epic Games has gained prominence in the video game and software development sectors, notably for the success of Fortnite and the pioneering Unreal Engine.

Epic Games' financial growth is fueled by private investments. A pivotal moment came in 2012 when Tencent acquired a 40% stake, providing significant capital for expansion. The company's success in gaming and technology continues to attract interest from investors, leading to speculation about a potential future IPO.

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Is Epic Games Planning an IPO?

As of now, Epic Games has not disclosed any definite plans for an Initial Public Offering (IPO). The company, renowned in the video gaming and software development industry, enables creators and developers to innovate and monetize their projects, garnering widespread interest.

Despite ongoing speculation, Epic Games remains privately held. It has amassed $6.4 billion in funding, which has driven its growth and innovation. While an IPO is a possibility for the future, the private status of Epic Games currently provides the flexibility to focus on expanding its user base and advancing its technology without the demands of public market scrutiny.

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Who Owns Epic Games?

Epic Games is primarily owned by its founder, Tim Sweeney, who holds a majority stake exceeding 50%, ensuring strategic control remains aligned with the company's foundational vision.

In 2012, Tencent, a major player in the global technology sector, acquired a 40% minority stake, significantly boosting Epic Games' growth and expansion capabilities.

Other stakeholders include prominent investment firms such as KKR & Co. and Smash Ventures. Additionally, a consortium of notable investors, including BlackRock, Fidelity, Baillie Gifford, and Lightspeed Venture Partners, has participated in various funding rounds, reinforcing Epic Games' strong position within the gaming industry.

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Epic Games Valuation

In 2022, Epic Games secured a significant private funding round, raising $2 billion from Sony Group Corp and Kirkbi, the investment firm linked to the Lego Group. This funding round elevated Epic Games' valuation to $31.5 billion.

Sony, a repeat investor, contributed $1 billion, while Kirkbi matched this with another $1 billion. These substantial investments underscore the confidence in Epic Games' strategic direction and innovation. Notably, the collaboration with the Lego Group to explore and develop the metaverse highlights Epic Games' pioneering role in this emerging digital space.

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Best Gaming Stock Alternatives to Epic Games

For investors interested in the gaming industry but unable to invest in Epic Games due to its private status, consider these public alternatives:

1. Microsoft (MSFT): As the parent company of Blizzard Entertainment, Microsoft offers a diversified gaming portfolio, including popular titles and services. Their acquisition of Blizzard has significantly strengthened their position in the gaming market, making Microsoft a solid investment choice.
2. Electronic Arts (EA): Known for blockbuster franchises like FIFA, Madden NFL, and The Sims, Electronic Arts is a leading interactive entertainment software company. Their consistent innovation and strong game lineup make them a compelling option for investors.
3. Take-Two Interactive (TTWO): Famous for titles such as Grand Theft Auto and NBA 2K, Take-Two Interactive has a significant presence in the gaming industry. Their track record of delivering high-quality games positions them as a robust choice for gaming stock investors.

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Bottom Line

While individual investors cannot currently buy shares in Epic Games due to its private status, the company's significant achievements and ongoing innovations continue to attract interest and speculation about a potential IPO. For those looking to invest in the gaming industry now, public companies like Microsoft, Electronic Arts, and Take-Two Interactive offer compelling alternatives.