Embracer Group BREAKS UP: 3 NEW Gaming Powerhouses Emerge

24 April 2024 at 19:00 in Deals, Gaming News with no comments
Embracer Group BREAKS UP: 3 NEW Gaming Powerhouses Emerge

Embracer Group is a holding company that has been around for over ten years and owns rights and licenses to many video games. While over the years it has dealt with numerous licenses, starting in 2023 the group did not fare well, losing a huge $2 billion investment that deeply affected the company.

In light of this situation, Embracer Group has decided on a complete restructuring of the company into 3 separate entities that will handle various licenses.

Embracer Group splits into 3 different companies

Embracer Group has certainly felt the repercussions of the recent loss of a major investment, which has led the group to also lay off a lot of personnel, like the loss of about a third of the staff at Eidos Montreal and the cancellation of a Deus Ex game that was in development at the time, among numerous lay offs. This, combined with the departure of Gearbox Entertainment and Saber Interactive from the company for financial reasons, has hit the company hard. To address the situation, Embracer Group has decided to split into 3 different publicly traded companies independently. Thus, we have the birth of:

  • Asmodee Group: A group mainly dedicated to the publication and distribution of board games. This company will hold licenses for games such as Exploding Kittens, 7 Wonders, CATAN, and other board games from Marvel, Star Wars, and Game of Thrones.
  • Middle-earth Enterprises & Friends: A company that will replace Embracer Group on the stock market, bringing with it licenses for major IPs such as Tomb Raider, Dead Island, Kingdom Come Deliverance, and Lord of The Rings. It will be the group dedicated to AAA games.
  • Coffee Stain & Friends: Coffee Stain will expand from a subsidiary to a dedicated company for the publication of indie, AA, and Free to Play games. Here we have licenses such as Deep Rock Galactic, Valheim, and Goat Simulator. With the transfer of licenses projected for 2025.

What will happen to Embracer Group games and what the future holds for the 3 companies

Following this news, released on April 22, many did not view the sale of Saber Interactive and especially GearBox Entertainment rights favorably, the two heavyweights on the AA and AAA side for the company. Beacon Interactive, a company of Saber Interactive, bought Saber Interactive and its studios for a whopping $247 million, while most of the subsidiaries would remain with Embracer Group. It is almost confirmed that they have also made an offer for the team of 4AGames (behind the Metro series) and Zen Studio (behind the Pinball games).

the announcement also on Twitter of Embracer Group division

Gearbox, on the other hand, was sold entirely to 2K, with almost all of Gearbox’s studios and IPs, except for Gearbox Publishing San Francisco, now known as Arc Games, along with Cryptic Studios, Lost Boys Interactive, and Captured Dimensions with some of their titles. In short, a major internal change that will surely have an effect on the remaining IPs and studios of the former Embracer Group, which from 2025 will see the finalization of the division into the 3 groups, with two groups dedicated to the gaming world both indie and AAA.


Download the Allkeyshop Browser Extension Free – SAVE MONEY

For all the latest video game news, trailers, and best deals, make sure to bookmark us.
You can find all the best and cheapest online deals on CD keys, game codes, gift cards, and antivirus software from the verified CD key sellers on our store pages.

To not miss any news on Allkeyshop, subscribe on Google News.

Read this post in :

By whizzerlow whizzerlow