A lot has been undergoing at the Embracer Group, from a major layoff to plans of selling off one of their most successful subsidiaries. However, it is no longer a plan. as the Swedish giants have officially announced that they are selling Saber Interactive for a deal worth $247 million.
Embracer Group acquired Saber Interactive back in 2020 for a deal worth around $525 million. After four years of acquiring the studio, they are selling off “selected assets” of Saber to Beacon Interactive, which is owned by the co-founder of Saber, Matthew Karch. Embracer CEO Lars Wingefors reported this deal as a win-win solution in the official announcement.
“I am pleased that we have found a win-win solution for Embracer and the parts of Saber that now will leave us. This transaction puts both companies in a stronger position to thrive going forward.”
Like many other game companies, Embracer Group is also undergoing a lot of financial troubles. So, they came up with a restructuring plan which included selling off Saber. Wingefors claimed the “cash flow is immediately improved” after such drastic steps.
The other reason for this tough call was to pull off all the operations from Russia to lower geopolitical issues. Embracer also laid off a large number of employees, so selling off Saber safeguarded “many developer jobs under new independent ownership.”
Embracer Group‘s official statement might be misleading
Although Embracer Group noted in their official statement the sale of Saber Interactive was worth $247 million, Bloomberg reporter Jason Schreier claims it to be misleading. The renowned journalist was the one who first reported the news of the Swedish gaming giants selling their largest subsidiary.
Embracer’s official announcement of the deal is a little misleading. Saber is actually bringing along 4A Games (Metro) and Zen Studios (Pinball) through options, which (combined with liabilities) amounts to a purchase price of around $500 million as Bloomberg reported last month https://t.co/3Pj0TQ5FSt
— Jason Schreier (@jasonschreier) March 14, 2024
Schreier took to his official X (formerly Twitter) account to claim that Emracer’s official statement is misleading, as the deal should be worth $500 million, something he even claimed in his Bloomberg article. However, he clarified this confusion might have been caused because of 4A Games and Zen Studios.
In a letter to staff obtained by Bloomberg News, new Saber CEO Matt Karch confirms that they’ve already decided to take 4A and Zen, despite messaging from Embracer suggesting that it may retain the two studios: pic.twitter.com/RtYVL9qUUJ
— Jason Schreier (@jasonschreier) March 14, 2024
As Embracer claimed in their official announcement they will retain 34 Big Things, Shiver, Beambog, Aspyr, Snapshot, Tripwire, Tuxedo Labs, and Demiurge along with 4A Games and Zen Studios through options. However, according to Schreier, Saber CEO Matt Karch confirmed they will be keeping 4A Games and Zen Studios which brings the deal to over $500 million. Embracer or Saber might clarify the confusion later in another announcement, and we will keep fans informed if there is further development.
