Embracer has concluded the financial portion of its Saber Interactive divestment and confirmed that 4A Games and Zen Studios haven’t been included in the deal.
The Swedish conglomerate sold notable Saber Interactive assets—including studios like 3D Realms, Slippage, and New World Interactive—to Beacon Interactive earlier this year. Beacon is controlled by Saber co-founder Matthew Karch.
In total, Beacon chose to purchase a myriad of assets including multiple studios, 38 ongoing game projects, proprietary engine technology, and numerous game tools. The company also had the option to acquire Metro developer 4A Games and Pinball FX creator Zen Studios as part of the transaction, but has decided not to pursue those deals.
Embracer CEO Lars Wingefors said he is “satisfied” with how the divestment shook out and “very glad to see the great teams and assets of 4A Games and Zen Studios remain within Embracer.”
4A Games and Zen Studios have big plays for Embracer
“They will be important building blocks in our continued journey. 4A Games has currently two AAA titles under development that we eagerly await to announce,” he added in a press release.
“I would also like to take this opportunity to thank Matthew Karch for his contributions over the years, and at the same time congratulate the Saber team on the successful release of the iconic Warhammer 40,000: Space Marine 2, that will make a great start in their new structure.”
The financial aspects of the Saber divestment were concluded after Embracer received an early payment of $168.4 million from Beacon. The conglomerate will be paid an additional $28.1 million in 2024 and 2025.
“The divestment has contributed to improving Embracer’s cash flow, reducing capital expenditures, net debt, and future liabilities. With this payment, all commitments related to the transaction, including financial obligations, are now fully settled,” adds a press release.
Embracer is still attempting to course correct after years of rampant spending came to an abrupt end, resulting in widespread layoffs, studio closures, and project cancellations across the company. The recent layoffs at Lost Boys Interactive show that brutal rightsizing remains an ongoing process.