Update, 03/15/24: Last month, we learned that Embracer Group, the company behind the closure of Saints Row studio Volition Games and layoffs at companies like Black Forest Games and Eidos-Montréal, was reportedly set to sell Star Wars: Knights of the Old Republic remake developer Saber Interactive. The deal apparently carried with it a $500 million price tag, according to a Bloomberg report. Now, it's official: Embracer has sold off Saber Interactive to a group of private investors under Beacon Interactive, as reported by VideoGamesChronicle. Beacon Interactive is controlled by Saber Interactive co-founder Matthew Karch, the publication reports. Embracer sold Saber Interactive to Beacon Interactive for $247 million, but there was an option for the former to bring Metro series developer 4A Games and Pinball FX developer Zen Studios with it as well, increasing the price tag to around $500 million. According to Bloomberg reporter Jason Schreier, Karch and Saber Interactive have decided to enact that option, bringing 4A Games and Pinball FX out of Embracer and with it to Beacon Interactive. "Today, through a company we formed called Beacon Interactive, we have agreed to buy back the rights to Saber (and all of its worldwide studios and exclusive contractor relationships), Mad Head, DIGIC, Nimble Giant, Fractured Byte, Spligate, 3D Realms, New World Interactive, SPL, Stuntworks, Bytex, 4A and Zen (through options), totaling over 3,000 developers across the world," Karch writes in a letter to Saber Interactive. "We have decided precisely on these studios for acquisition because we believe they represent the best of what Saber is and can be. "This group comprises some of the most talented and creative developers in the world. Our track record and, more important, the projects we have in development speak, volumes about our capabilities. I truly believe that we currently have the best game collection of game developers in the industry thanks to all of you." Following the deal, Embracer will still have the following studios: 34BigThings, Aspyr, Beamdog, Demiurge, Shiver, Snapshot Games, Tripwire, and Tuxedo Labs. Despite 4A Games going with Saber Interactive, Embracer says license and publishing rights to current and future games on PC and console in the Metro series are held by Embracer. "I am pleased that we have found a win-win solution for Embracer and the parts of Saber that now will leave us," Embracer CEO Lars Wingefors writes in a statement. "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." Tuxedo Labs, the studio behind Teardown, released a statement following the deal to discuss its future as a studio previously controlled by Saber Interactive now under the Embracer umbrella. The team says, "This is a big change and it gives us full creative control with a heightened sense of independence and creative liberty. Saber will continue to aid us in Teardown's future development. "This change opens new doors for us to showcase more of the innovative work happening within Tuxedo Labs. Our commitment to Teardown remains steadfast, with the entire team dedicating our efforts to the game's ongoing development." You can read the full statement below: Changes in ownership structure. pic.twitter.com/zi3fIS8DEA — Teardown (@teardowngame) March 14, 2024 The original story continues below... Original story, 02/29/24: Embracer Group, the company behind the closure of Saints Row studio Volition Games and layoffs at companies like Eidos-Montréal and Black Forest Games, is set to sell Star Wars: Knights of the Old Republic remake developer Saber Interactive, according to a new Bloomberg report. Embracer is selling the developer to a group of private investors in a deal worth $500 million, a source told the publication. Once the deal goes through, Saber Interactive will be a privately owned company and free from Embracer, which is behind layoffs spread throughout the past couple of years. Following the transaction, the studio will continue work on its Star Wars: Knights of the Old Republic remake, which it took over as the developer after Aspyr Media was removed from it in 2022. Bloomberg reports this sale is another effort of Embracer to cut costs alongside studio closures and layoffs after a planned $2 billion deal with Saudi Arabia-backed Savvy Games Group fell through in 2023. The publication writes one of its sources says the $500 million deal comes with the option for Saber Interactive to bring with it multiple Embracer subsidiaries as well. Saber Interactive is also working on the recently announced first-person Jurassic Park: Survival. [Source: Bloomberg]
Update, 03/15/24:
Last month, we learned that Embracer Group, the company behind the closure of Saints Row studio Volition Games and layoffs at companies like Black Forest Games and Eidos-Montréal, was reportedly set to sell Star Wars: Knights of the Old Republic remake developer Saber Interactive. The deal apparently carried with it a $500 million price tag, according to a Bloomberg report.
Now, it’s official: Embracer has sold off Saber Interactive to a group of private investors under Beacon Interactive, as reported by VideoGamesChronicle. Beacon Interactive is controlled by Saber Interactive co-founder Matthew Karch, the publication reports.
Embracer sold Saber Interactive to Beacon Interactive for $247 million, but there was an option for the former to bring Metro series developer 4A Games and Pinball FX developer Zen Studios with it as well, increasing the price tag to around $500 million. According to Bloomberg reporter Jason Schreier, Karch and Saber Interactive have decided to enact that option, bringing 4A Games and Pinball FX out of Embracer and with it to Beacon Interactive.
“Today, through a company we formed called Beacon Interactive, we have agreed to buy back the rights to Saber (and all of its worldwide studios and exclusive contractor relationships), Mad Head, DIGIC, Nimble Giant, Fractured Byte, Spligate, 3D Realms, New World Interactive, SPL, Stuntworks, Bytex, 4A and Zen (through options), totaling over 3,000 developers across the world,” Karch writes in a letter to Saber Interactive. “We have decided precisely on these studios for acquisition because we believe they represent the best of what Saber is and can be.
“This group comprises some of the most talented and creative developers in the world. Our track record and, more important, the projects we have in development speak, volumes about our capabilities. I truly believe that we currently have the best game collection of game developers in the industry thanks to all of you.”
Following the deal, Embracer will still have the following studios: 34BigThings, Aspyr, Beamdog, Demiurge, Shiver, Snapshot Games, Tripwire, and Tuxedo Labs.
Despite 4A Games going with Saber Interactive, Embracer says license and publishing rights to current and future games on PC and console in the Metro series are held by Embracer.
“I am pleased that we have found a win-win solution for Embracer and the parts of Saber that now will leave us,” Embracer CEO Lars Wingefors writes in a statement. “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.”
Tuxedo Labs, the studio behind Teardown, released a statement following the deal to discuss its future as a studio previously controlled by Saber Interactive now under the Embracer umbrella. The team says, “This is a big change and it gives us full creative control with a heightened sense of independence and creative liberty. Saber will continue to aid us in Teardown’s future development.
“This change opens new doors for us to showcase more of the innovative work happening within Tuxedo Labs. Our commitment to Teardown remains steadfast, with the entire team dedicating our efforts to the game’s ongoing development.”
You can read the full statement below:
Changes in ownership structure. pic.twitter.com/zi3fIS8DEA
— Teardown (@teardowngame) March 14, 2024
The original story continues below…
Original story, 02/29/24:
Embracer Group, the company behind the closure of Saints Row studio Volition Games and layoffs at companies like Eidos-Montréal and Black Forest Games, is set to sell Star Wars: Knights of the Old Republic remake developer Saber Interactive, according to a new Bloomberg report. Embracer is selling the developer to a group of private investors in a deal worth $500 million, a source told the publication.
Once the deal goes through, Saber Interactive will be a privately owned company and free from Embracer, which is behind layoffs spread throughout the past couple of years. Following the transaction, the studio will continue work on its Star Wars: Knights of the Old Republic remake, which it took over as the developer after Aspyr Media was removed from it in 2022.
Bloomberg reports this sale is another effort of Embracer to cut costs alongside studio closures and layoffs after a planned $2 billion deal with Saudi Arabia-backed Savvy Games Group fell through in 2023. The publication writes one of its sources says the $500 million deal comes with the option for Saber Interactive to bring with it multiple Embracer subsidiaries as well.
Saber Interactive is also working on the recently announced first-person Jurassic Park: Survival.
[Source: Bloomberg]
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