Niantic Labs, the developer behind the smash hit Pokemon Go, has announced that it is selling the mobile creature-collecting game along with the rest of its gaming assets to Scopely for $3.5 billion. With that deal closed, Niantic will spin off its geospatial AI business into Niantic Spatial Incorporated.

Scopely, a mobile game company, will purchase 'Pokémon Go' and other games from developer Niantic in a deal worth $3.5 billion, the companies announced Wednesday.

Pokemon GO” maker Niantic reached an agreement to sell its gaming business to Savvy Games Group’s subsidiary, Scopely, for $3.5 billion, handing the company backed by Saudi Arabia’s sovereign wealth fund the hit mobile game along with engagement and live-experience apps.

Mobile games giant Scopely will pay $3.5 billion to acquire Niantic's game unit including the studio behind Pokemon Go, the companies announced on Wednesday.