Tencent acquires two ByteDance video game units

Tencent-ByteDance deal: Tencent has acquired two video game units from ByteDance as ByteDance withdrew from gaming sector last year, sources told Reuters.

acquired teams are working on an action game in Shenzhen and an anime game in East China. 

source, speaking on condition of anonymity, stated that se teams have been consolidated into a new company named "Saluosi," fully-owned by a Tencent investment entity.

Neir ByteDance nor Tencent responded to Reuters' request for comments.

Reports emerged in January indicating ByteDance's negotiations with various potential buyers for its gaming assets, including Tencent.

ByteDance me decision to exit majority of its video games business in November, marking end of its five-year venture into $185 billion global video games market.

(With Reuters Inputs)