adminKadokawa CEO Takeshi Natsuno has kept his position after an activist investor group sought his removal over the company’s response to the commercial success of Elden Ring. Natsuno retained the role at Kadokawa Corporation’s annual general meeting, but shareholder backing declined sharply, highlighting concerns about the company’s strategy and oversight of its games business.
Image credit: FromSoftware
Kadokawa CEO Takeshi Natsuno retains his position
According to Reuters, Natsuno remained CEO following the AGM. However, support for him fell from 90% to 59.68% over the previous 12 months. The result means he stays in office, while the lower approval figure signals significant shareholder dissatisfaction.
Hong Kong-based activist investor Oasis Management had called for Natsuno to be replaced. The group argued that Kadokawa experienced “material profit leakage” from Elden Ring, saying the company could have done more to benefit from the hit action role-playing game’s success.
Institutional Shareholder Services, another activist group, also questioned the leadership decision. In a proxy report, it said that finding a replacement might take time but described the challenge as worth undertaking. These are investor assessments of Kadokawa’s performance, rather than a change in the company’s leadership: Natsuno kept his role after the vote.
Investor concerns and Kadokawa’s next steps
Following the AGM, Kadokawa said it would review its management structure, executive compensation and progress on its medium-term business plan. These areas are relevant to investors because they can offer a clearer picture of how the company evaluates leadership and plans to turn successful releases into sustained business results.
In March, Oasis Management became Kadokawa’s largest shareholder, holding 11.89% of its stock. Sony held 10.04% at the time, while Chinese company Tencent owned 7.97% of Kadokawa. Share ownership figures can change, so they should be understood in the context of the period reported.
How important is Elden Ring to Kadokawa?
Kadokawa acquired FromSoftware in 2014, although no value for the deal was announced at the time. FromSoftware released Elden Ring in 2022, and Kadokawa’s games business recorded a 123% revenue increase. By April 2025, the game had sold more than 30 million copies. Its downloadable content, Shadow of the Erdtree, had sold over 10 million units.
FromSoftware also released the multiplayer-focused spin-off Nightreign in 2025. It had sold more than five million units to date and marked the studio’s first spin-off based on one of its Soulslike games. The figures help explain why investors have focused on Kadokawa’s ability to make the most of the franchise, while the company’s broader management and business plans remain part of the discussion.
What comes next for the Elden Ring franchise?
An Elden Ring film adaptation written and directed by Alex Garland is scheduled to launch on March 3, 2028. The announced adaptation is another development connected to the franchise, although the investor concerns described above focus on Kadokawa’s business decisions and the returns generated by its properties.
For now, Kadokawa CEO Takeshi Natsuno remains in office, but the fall in shareholder support and the planned reviews indicate that investor scrutiny continues. The company’s future assessment will depend on how it addresses management questions and demonstrates progress in its business plan.
