Saber Interactive is buying its way out of Embracer Group in a deal valued at $247 million. Saber is doing so through Beacon Interactive, a new and separate company founded by co-founder Matthew Karch
Beacon will take control of most Saber assets, which includes its studios with over 3,000 employees. The deal will affect about 38 ongoing (several unannounced) AA and AAA projects. This is also Embracer’s exit from the Russian market.
Saber is taking with it studios like New World Interactive (makers of Insurgency series), 3D Realms (creators of Ion Fury), and Mad Head Games (developers of Scars Above). The development rights to highly anticipated titles like Warhammer 40k: Space Marine 2 and the Star Wars: KOTOR remake will also go into Saber’s pocket.
On the other hand, Embracer will continue to own a few studios like Tripwire and Aspyr. However, Saber can still acquire 4A Games (of the Metro franchise) and Zen Studios (of Pinball FX) should it choose to.
There are still a few pending projects that will remain under Embracer’s umbrella for the time being. The company will keep publishing rights to existing and upcoming Saber titles like Killing Floor 3. It will also have long-term rights to the Metro franchise even though the studio is going to Saber.
Embracer was facing debt and cash flow issues, which is a big factor to consider in this deal. Meanwhile Saber is regaining control over its future IPs with this move. A deal of this size (and considering the IPs involved) will certainly bring a significant shift in the gaming landscape.
It’s important to note that while the deal is initially valued at $247 million, estimates suggest the true value could be closer to $500 million when factoring in the potential acquisition of 4A Games and Zen Studios by Beacon Interactive. The agreement encompasses over 38 ongoing game development projects, including several unannounced AAA and AA titles.
