Saber Interactive

Saber Interactive Splits From Embracer Group

Embracer Group has sold off Saber Interactive in a deal worth $247 million to Beacon Interactive. However, after everything is said and done, the deal is likely worth closer to $500 million.

An official press release confirms the sale to Beacon Interactive, a new company established by Matthew Karch, Saber Interactive’s co-founder.

As part of the sale, Saber will keep some studios such as 3D Realms, Fractured Byte, Sandbox Strategies, Nimble Giant, New World Interactive, Nimble Giant, Slipgate, Mad Head Games,  and DIGIC.

Saber optioned to bring 4A Games and Zen Studios along, combined with liabilities, amounting to a purchase price of around $500 million.

Embracer, on the other hand, will retain the following studios: Zen Studios, 4A Games, Tripwire, Beamdog, Tuxedo Labs, Demiurge, Shiver, Aspyr, Snapshot, and 34 Big Things. It will also retain intellectual property rights for the Metro series and future publishing rights for various titles, including some unannounced AA and AAA projects and Killing Floor 3 and Teardown.

Furthermore, Embracer has decreased its debt by $204 million US/$275 million CAD. The publisher is also pulling out of Russia entirely.

“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. Embracer is now able to discontinue all operations in Russia, according to a previous board decision, while safeguarding many developer jobs under new independent ownership. At the same time, we keep key companies, valuable IPs and future publishing rights. Cash flow is immediately improved, and we remain committed to reducing net debt. The transaction yields additional headroom to amortize debt in accordance with existing bank agreements and will improve financial flexibility. This is the first transaction of the previously mentioned structured processes and marks a small but important step in our journey to transform Embracer into the future for the benefit of all employees, gamers, and shareholders,” says Lars Wingefors, co-founder and Group CEO of Embracer.

The deal lists a few caveats with one of them indicating that Beacon Interactive has the option to acquire Metro developer 4A Games and Pinball developer Zen Studios for a fixed price within a specific period. According to Bloomberg reporter Jason Schreier, Beacon Interactive has decided to buy both studios. Embracer operative group Plaion holds the long-term license and publishing rights to all current and future PC and console games in the Metro franchise, as stated by Embracer.

After being bought in 2020, Saber Interactive has