DIGITAL HEARTS HOLDINGS Co., Ltd., (hereinafter referred to as “DIGITAL HEARTS HOLDINGS”) the parent company of DIGITAL HEARTS Co., Ltd. announces that, at the Board of Directors meeting held today, it has resolved to enter into a capital and business alliance agreement with GTL Media, Inc. (hereinafter referred to by its brand name “GameScribes”) and to explore the possibility of making the company a consolidated subsidiary in the future, as outlined below.

Reasons for the capital and business alliance

　In recent years, the global expansion of game titles has accelerated, leading to a sharp increase in demand for multilingual support and localization to enable simultaneous releases across various countries and regions. Against this backdrop, DIGITAL HEARTS Group, which offers comprehensive quality enhancement services for game software, has been actively developing a one-stop solution framework. This includes not only leveraging the management resources and expertise cultivated through our original core business in game debugging/Quality Assurance (QA), but also utilizing M&A and strategic alliances to provide translation and LQA (Linguistic Quality Assurance*) while preserving the game’s worldview and character identity, multilingual voice recording, and marketing support tailored to local market practices. In particular, for translation and LQA, DIGITAL HEARTS Group are focused on delivering high-value services that combine quality and speed. This is made possible by “ella”, our unique AI translation engine specializing in games. It supports 17 language pairs across 8 languages—including Asian and Western languages—powered by a team of over 350 native-speaking professionals.
　Founded in 2009 in the United States, Gamescribes is a localization company with a global network of over 900 freelance professionals. The company has contributed to the localization of numerous major game titles. GameScribes delivers high-quality translation services by combining native-speaking talent across a wide range of languages—including Russian, Arabic, and Latin American languages—with a four-tiered talent classification system based on translation skill and experience,  earning strong praise from clients.
　By integrating DIGITAL HEARTS Group’ strengths in Asian languages, GameScribes’ expertise in Western and other languages, and the use of our unique AI engine “ella,” DIGITAL HEARTS Group are now able to deliver high-quality multilingual translation and LQA services through a seamless one-stop solution. In light of this strategic alignment, DIGITAL HEARTS HOLDINGS have decided to enter a capital and business alliance agreement with GameScribes.
　Looking ahead, DIGITAL HEARTS Group will continue to enhance our one-stop solutions to strongly support our clients’ global expansion, with the aim of evolving into a corporate group that can compete globally as a true “Global Quality Partner” in the entertainment industry.

*LQA…An abbreviation for Linguistic Quality Assurance. It refers to the process of verifying localized content by checking for issues such as text overflow and character corruption, while also reviewing the linguistic and cultural appropriateness of the translated text to ensure the overall quality of localization.

Regarding Capital alliance

　DIGITAL HEARTS HOLDINGS plan to acquire 250 newly issued shares of GameScribes through a third-party allotment for a total consideration of USD 1 million (JPY 158 million). Following the transaction, DIGITAL HEARTS HOLDINGS will hold 20.0% of GameScribes’ total outstanding shares as of February 6, 2026.
　Furthermore, DIGITAL HEARTS HOLDINGS intend to acquire the remaining 1,000 shares of GameScribes (representing 1,000 voting rights), thereby making GameScribes a wholly-owned subsidiary, provided that GameScribes meets its performance targets for the fiscal year ending December 2028. The specific details of the additional acquisition, including the schedule and purchase price, have not yet been fixed and will be disclosed once finalized.

* The exchange rate used for calculation is 158.27 yen per US dollar.

Regarding Business alliance

　Through this strategic partnership, DIGITAL HEARTS HOLDINGS aim to accelerate the global expansion of both companies by combining GameScribes’ localization expertise for European languages, Russian, Arabic, and Latin American languages with our group’s strengths in Asian language localization, debugging, and game development support services.

Schedule

(1)	Date of the Board of Directors’ resolution	January 23, 2026
(2)	Date of conclusion of capital and business alliance agreement	January 23, 2026 (Scheduled)
(3)	Commencing date of capital and business alliance	January 23, 2026 (Scheduled)

*All brands, product names, company names, trademarks, and service marks are the properties of their respective owners.

【About DIGITAL HEARTS Group】

　Based on its corporate mission of “SAVE the DIGITAL WORLD,” the DIGITAL HEARTS is a Global Quality Partner that strives to provide guaranteed quality by supporting the development of the game and entertainment industry by offering a wide range of services, including game debugging (Quality Assurance), localization, and marketing support.
https://www.digitalhearts-hd.com/en/