Discord is exploring its options for a sale that could be worth more than $ 10 billion, VentureBeat said, and it looks like the deal could be completed soon. Additional sources cited by Bloomberg say Microsoft is one of the companies involved in negotiations to acquire Discord. According to the Wall Street Journal, it may even close a deal next month.
Sources cited by VentureBeat say the potential sale comes due to the interest expressed by several parties. One person claims that Discord is in final negotiations with one of the parties, having signed an exclusive acquisition discussion. A Bloomberg source said Discord approached Microsoft to assess the interest, with Xbox boss Phil Spencer, involved in negotiations with the gaming chat company.
Others familiar with the matter said that Epic Games and Amazon have also been involved in discussions to buy Discord in the past, although it is unclear whether negotiations with these companies are ongoing.
The interest in Discord comes after a great year for the chat company, when it went from an application strongly focused on games to one that welcomed all communities that needed an online space to get together. At the end of 2020, Discord raised $ 140 million from investors, after obtaining a valuation of $ 7 billion.
Recent events in the gaming industry, such as the rise in GameStop shares and Roblox’s strong debut in the stock market, have caught the attention of investors, which means that Discord may choose to go public instead of selling itself. However, Discord acknowledged that in 2020 the company was not yet profitable, which means that an IPO at this stage may be immature.
Discord had already gone through acquisition negotiations in 2018, with potential sales falling due to Discord’s desire to protect its internal values. Many potential buyers wanted to change the platform in an important way, such as adding advertising, something the company has always resisted from the beginning. It is possible that this round of negotiations will end in the same way, but only time will tell at this point.