Embracer onboards more than 1,250 experienced and talented people, strengthens its developer footprint in Eastern Europe as well as its development and UA capabilities within free-to-play. In most of the transactions, earn-outs and management incentives over 5-10 years, have been put in place to ensure long term alignment with the founders and management teams joining Embracer.
The announced Acquisitions are aligned with Embracer’s growth strategy and is enabled by the group’s decentralized operating model. Over the past three years, Embracer has expanded from one to six operating units. Each of these operating units have put in place their own M&A agenda with the purpose of adding additional organic growth opportunities and to improve long term profit and cash flow generation. For Embracer’s decentralized operating model to be sustainable and scalable, it is a necessity that most acquisitions are originated and onboarded on the operating unit level. For the Embracer operating model with emphasis on decentralized decision making and independence for local management to work, it is also necessary that founders and management of acquired companies join Embracer with a long-term mindset.
Through the Acquisitions, Embracer Group grows to 58 internal studios and more than 5,700 employees and contracted employees in more than 45 countries.
Embracer’s inhouse developer footprint is expanded by 767 developers, equivalent to a 30 percent increase and brings the total number of internal developers to 3,318. The total headcounts within the group increases to more than 5,700 employees and contracted employees following the Acquisitions. The management depth is further extended by the addition of strong business leaders and local management teams with an impressive track record, where many of the acquired companies are leading premium games developers in their respective countries.
Embracer entered the free-to-play games segment with the acquisition of Deca Games in August 2020. Today, the Deca Operating Unit is established with the addition of A Thinking Ape and IUGO, two studios based in Canada. Embracer estimate the new Deca Operating Unit will triple in size in terms of revenues and employees and create a full scale free-to-play operation with expertise across IP origination, game development, marketing, user acquisition and live operations. Deca Games, A Thinking Ape and IUGO will continue to operate as independent companies within the Deca Operating Unit free-to-play ecosystem with their respective management teams continuously responsible for day-to-day operations. Founders and management across these businesses have a long term alignment with Embracer and shares a passion for creating a substantial free-to-play business over time through a combination of organic growth and by welcoming more FTP gaming entrepreneurs to the Embracer family.
Snapshot Games
Embracer Group has entered into an agreement to acquire 100% of the shares in Snapshot Games, and its wholly owned subsidiary Snapshot Games Sofia EOOD.
Snapshot Games will form a part of Embracer's wholly owned subsidiary Saber Interactive. Snapshot Games, based in USA and Bulgaria, is the independent video game developer behind premium strategy title Phoenix Point. Through the acquisition, Saber brings a reputable studio of 65 people and well renowned IPs into the group.
"Julian Gollop is a video game legend and we could not be more excited to bring Snapshot Games into the Embracer family. Snapshot’s specialty in strategy games makes them a perfect fit in our overall portfolio. Last year’s Phoenix Point was a fantastic title that resonated with players and the press, so we look forward to collaborating with them to define the future of this genre" says Matthew Karch, CEO Saber Interactive and Director of the Embracer Board.
Snapshot Games is a premium independent video game developer and publisher, originally established in 2013 through a Kickstarter crowdfunding campaign. The company is founded and led by industry visionary Julian Gollop, recognized as the creator of the X-COM franchise, and games business veteran David Kaye. Snapshot Games currently operates in two locations, with a studio consisting of 50+ passionate developers in Sofia, Bulgaria, and a smaller team in Los Angeles dedicated to marketing and publishing.
Snapshot Games’ first title Chaos Reborn, a wizard combat game, was released in 2014 and the most recent title produced by Snapshot Games, sci-fi strategy game Phoenix Point, was released in 2019. The two titles produced by Snapshot Games to date have been critically praised.
Snapshot Games has proven capabilities in developing and publishing original IPs, originating from a team of diverse backgrounds and skills. The company currently has a major title in development with a planned release in 2023. Saber sees additional opportunity in leveraging the combined expertise and experience of Snapshot Games and Saber to realize the full potential of Snapshot Games portfolio of premium strategy titles and collaborate on future premium games.
Within the Embracer Group, Snapshot Games will operate as an independent studio under Saber, with continued focus on developing premium games. With the acquisition of Snapshot Games, Saber will onboard a team led by experienced industry professionals with proven experience in developing and publishing esteemed titles within the strategy segment. With presence in USA and Bulgaria, two active regions within the gaming industry, the acquisition of Snapshot Games further strengthens Embracer’s international presence.
"We are thrilled that Snapshot is joining forces with the world class team at Saber. Julian and I look forward to working with Andrey, Matt and Lars to develop and expand the Phoenix Point universe, and to bring new IP to a global audience" says David Kaye, Co-founder and President Snapshot Games.
Flying Wild Hog
Embracer Group, through its wholly owned subsidiary Koch Media GmbH, has today entered into an agreement to acquire 100% of the shares in the Poland-based Flying Wild Hog from Supernova Capital LLP.
Flying Wild Hog is a renowned and growing independent Polish developer of AA+ PC and console games such as the critically acclaimed Shadow Warrior series. The FWH team is currently working on four projects together with well reputable external publishers. Through the acquisition, Embracer onboards a reputable team of 260+ people across three studios in Poland, adding a solid platform in an important and growing hub for game development in Europe.
The day one purchase price is equivalent to MUSD 137.2 on a cash and debt free basis and is paid in cash to Supernova Capital LLP, a well-known private equity firm in the games sector. Additionally, a management incentive program has been set up in order to align interests going forward. The incentive program amounts to a combined maximum MUSD of 7.1 in Embracer B-shares and is subject to fulfilment of agreed milestones and commitments to stay engaged in FWH over the coming 5 years.
“Flying Wild Hog has been on our radar for many years because of their talent, but also because of their ability to scale up with consistent high-quality work. Flying Wild Hog will remain independently run by its strong management team within Koch Media, while exploring the benefits from collaboration with the wider Embracer Group. Flying Wild Hog will be an engine for growth in Poland, which is one of the most dynamic and vibrant developer scenes for premium games globally” says Lars Wingefors, Founder and Group CEO of Embracer Group
Flying Wild Hog was founded by Michal Szustak, the current CEO, together with developers of CD Projekt Red and People Can Fly in Warsaw, Poland in 2009. In 2016, FWH expanded by opening a new studio in Cracow, followed up by an additional studio in Rzeszów in 2018. The team today consists of more than 260 persons with a unique and diverse set of skills, originated from developing global hits for other leading publishers as well as from FWH’s own projects. FWH’s released games have together sold more than 9.5 million units since release.
Through the acquisition, Embracer adds one of the few remaining independent top-quality developers of scale in Europe with strong capabilities of further growing organically, as well as creating and developing original IP. The acquisition significantly strengthens Embracer’s footprint in Eastern Europe and represents Embracer’s first owned development team in Poland, a significant and growing hub for game development in Europe.
The team at FWH in Cracow is the only established Game-as-a-Service developer on console/PC platforms in Poland and brings new capabilities to the Embracer group that can be further scaled and leveraged in other projects going forward. FWH are currently working on an exciting project pipeline, including developing four titles for publishers such as Jagex, Devolver Digital and Focus Home Interactive. The 4 new titles will be released starting from FY 21/22. The majority of the revenues of the 4 games in FWH are generated under ongoing work-for-hire contracts with notable potential to earn royalty participations if the titles achieve commercial success.
“Having “The Hogs” join the Koch Media Group is truly great. Together with the local management we plan to develop the three studios further on their journey to making AAA games in the coming years” says Klemens Kundratitz, CEO of the Koch Media Group.
Going forward, Embracer will see development and royalty cost savings from future in-house developed IPs as well as publishing margin savings between Koch Media and FWH. Additional synergies between FWH and Embracer group companies include among other things technology sharing, development resources, utilization of IP catalog and business development. The strategy after the release of the currently developed four games will be a mixture of continued collaboration with external companies as well as own games development based on either new IPs or existing IPs from the Embracer portfolio.
Within the Embracer Group, Flying Wild Hog will operate as an independent studio in the Koch Media Group, which has high confidence in the competence and knowledge that has been accumulated during FWH’s +11 years in the games business. Embracer and Koch Media look forward to supporting FWH’s studios with long-term investments into new game development projects going forward.
"We're so excited to see Flying Wild Hog join Embracer Group's portfolio of globally-renowned game developers. We always knew there was enormous potential in Flying Wild Hog and we couldn't be prouder to have been a part of their growth and success. This new partnership with Embracer will see them reach even greater heights.” says Supernova founder and Managing Partner Paul Wedgwood.
“We are absolutely thrilled that Flying Wild Hog will be joining Koch Media and the Embracer family. Koch Media is a renowned publisher who has embraced our vision to create the most exciting, fast-paced, over the top action games for players worldwide. What drives Flying Wild Hog is the ambition to surprise fans with unique gaming experiences delivered to the highest quality. By joining forces with the notoriously energetic Embracer Group and Koch Media, we will be able to continue to grow and focus on delivering even more ambitious games. We fell in love with Embracer's vision to build an alliance of diverse and talented studios who keep their independence and creative freedom. It’s an incredibly compelling opportunity which is why we’re delighted by this partnership and what it holds for our future.” says Michal Szustak, CEO Flying Wild Hog Studios.
Zen Studios
Embracer Group, through its wholly owned subsidiary Saber Interactive, has entered into an agreement to acquire 100% of the shares in ZEN Stúdió Kft (“Zen Studios”).
Zen Studios is a game developer and publisher of interactive entertainment for all major digital game platforms. Zen Studios is the producer behind the well-established Pinball FX and Zen Pinball franchises. Through the acquisition, Saber onboards a reputable team that has generated original titles alongside collaborations with some of the most well-known entertainment studios.
“Zen Studios has been a quietly legendary studio for over 17 years, making the very best digital pinball games. They currently own the pinball market and I see tremendous opportunity for growth and expansion. They have also showed the ability to expand into other genres. They have access to the best talent in Hungary and now, as part of Embracer Group, Zen will have the resources and support to take their creativity and technical ability to another level” says Matthew Karch, CEO Saber Interactive and Director of the Embracer Board.
Zen Studios, founded in 2003 as a work-for hire tech company by four developers, is an independent premium video game developer and publisher of interactive entertainment for all major game platforms. Zen Studios is based in Budapest, Hungary, with a leadership team of industry veterans and 65 developers. In 2007, Zen Studios released its first Pinball Game and has since then defined pinball video game excellence with the Pinball FX and Zen Pinball franchises. Zen Studios has also collaborated with well-known entertainment studios, including Lucasfilm and NBC Universal, on development of brand-new virtual pinball tables based on pop culture films, characters and themes. including titles Telltale’s The Walking Dead Pinball and Star Wars™ Pinball. Outside of pinball, Zen Studios is known for its real-time fantasy strategy game CastleStorm, released in 2013, with the sequel CastleStorm 2 released in June 2020. The company has also produced non-pinball titles KickBeat, a martial arts-themed action game, and Operencia: The Stolen Sun, a first-person RPG game, released in 2018.
Through the acquisition, Saber onboards an experienced studio with strong capabilities in developing and publishing original titles led by an experienced team. Saber sees an opportunity to improve Zen Studio’s development process from concept, production and release, and look forward to providing support and resources in order to strengthen the
Within the Embracer Group, Zen Studios will operate as an independent studio under Saber, with continued focus on developing premium games. Zen Studios strengthens Embracer Group’s footprint and Saber’s development capabilities in Eastern Europe. Saber will support Zen Studio’s expansion into the RPG genre, leveraging the expertise of both teams to enhance the gaming experience of current and future titles even further.
“Zen Studio’s operational philosophy and vision for the future aligns perfectly with that of the Embracer Group. With values and goals aligned, I have no doubt that this is a perfect fit, and it an honor to join forces with a global partner who truly appreciates the value Zen has created. Together we will accelerate our path to greater success as we begin to execute the next phase of Zen’s global expansion” says Zsolt Kigyossy, Co-founder and Managing Director Zen Studios.
34BigThing
Embracer Group, through its wholly owned subsidiary Saber Interactive, has entered into an agreement to acquire 100% of the shares in 34BigThing.
34BT is a game developer of premium games across PC, console and mobile devices. 34BT is renowned as the studio behind Redout which has won 13 international awards and been awarded as the Best Italian Videogame by IIDEA in 2017. Through the acquisition, Saber onboards an experienced AA team based in Italy.
“34BigThings is one of the most exciting independent game studios in Italy fueled by the team’s deep love of games. They describe themselves as ‘superweird’ but they are also super-talented. We can’t wait to work with them on their next batch of fiercely original titles” says Matthew Karch, CEO Saber Interactive and Director of the Embracer Board.
34BigThings, founded in 2013, is a developer of premium games for PC, console and mobile devices that has released 10 high-quality games including Super Inefficient Golf, Hyperdrive Massacre and multiple Redout titles, among others, last year’s Apple Arcade sensation Redout: Space Assault. 34BT, based in Turin, Italy, is an experienced co-founding team of game veterans and a total of 28 employees. 34BT currently has two unannounced premium games in the pipeline and is expected to grow further in order to support development of the titles in parallel. 34BT represents a strategic acquisition for Saber Interactive, acquiring a talented and efficient Italian studio that offers an opportunity to grow substantially. 34BT will be supported in developing and launching original games on more platforms as a component of Saber’s comprehensive strategy.
“We are super excited about joining Saber Interactive today. We believe this is the best opportunity for our studio to expand our PC and console business. Working alongside so many amazing Embracer companies will allow us to reach the full extent of our potential and ambition in the coming years” says Valerio Di Donato, Co-founder & CEO 34BT.
Mad Head Games
Embracer Group, through its wholly owned subsidiary Saber Interactive, has entered into an agreement to acquire 100% of the shares in Mad Head Games doo Novi Sad ("Mad Head Games"). The company, based in Belgrade and Novi Sad, Serbia, is an independent game developer led by three founders with a team of 130 people across four offices in Belgrade and Novi Sad.
“After years of following Mad Head’s success in making casual adventure games, it’s been impressive watching them expand into premium core titles. This is a versatile group that is capable of creating triple AAA content with the potential to be one of the world’s leading developers.” says Matthew Karch, CEO Saber Interactive and Director of the Embracer Board.
Mad Head Games was founded in 2011 by Nenad Tomić, Uroš Banješević, and Aleksa Todorović, all three having more than 15 years game development experience. Residing in a talented region with a strong gaming industry presence, the company currently operates in four office locations, with two offices in Belgrade and Novi Sad, respectively. Over nearly a decade, Mad Head Games has grown into a sizable team of 130 people.
Being a skilled Unreal developer, Mad Head Games has extensive experience collaborating with leading publishers such as Big Fish Games, Koch Media, and Wargaming. Mad Head Games has also developed some original IPs over the years, including the well-received single-player mystery game Adam Wolfe.
For Saber, Mad Head Games represents a studio with significant experience in full-scale turnkey development of core games across multiple gameplay genres on both PC and console platforms. With Saber’s expertise and support there is potential to enhance Mad Head Games development processes even further on entirely new projects for games with owned IPs. The acquisition will also strengthen Embracer’s presence in Eastern Europe with the first studio operating in Serbia.
“The love for gaming brings people closer, especially in times like these. Together - we can achieve more. Together - we can reach further. In Embracer, we recognized a powerful ally, with a shared passion and strategic vision, allowing us to unlock new, exciting possibilities that will enable us to become a leading AA+ developer in the region.” says Nenad Tomić, Co-founder and CEO Mad Head Games.
Mad Head Games will continue to operate as an independent game developer under Saber, with continued leadership by the three founders. With the acquisition, Saber will further strengthen their development capabilities by bringing a studio of 100+ experienced developers into the group.
Purple Lamp Studios
Embracer Group, through its wholly owned subsidiary THQ Nordic, has entered into an agreement to acquire 100% of the shares in Purple Lamp Studios (“PLS”).
PLS is an independent video game developer specialized in third party IP games, based in Vienna, Austria. PLS has a longstanding partnership with THQ Nordic and has successfully delivered several titles in collaboration, including SpongeBob SquarePants: Battle for Bikini Bottom – Rehydrated. Through the acquisition, THQ Nordic onboards a longstanding partner with a team of 38 into the group with the ambition to work exclusively on titles for THQ Nordic.
“After numerous years of working in a predominantly international setting, we are extremely excited to further increase our footprint “at home”, i.e. here in Austria, by adding one of its most adept and experienced development studios to our ensemble. A warm welcome to the entire Purple Lamp team! We are happy to start putting our ambitious plans into action.” says Klemens Kreuzer, CEO THQ Nordic.
PLS are an independent video games development studio, based in Vienna, Austria. The studio was founded by an experienced team in 2018 and consists of 38 developers with diverse backgrounds from leading actors within the gaming industry.
The studio is specialized in development of third-party IP games and has a longstanding history of collaborating with THQ Nordic. Both parties have in cooperation produced titles like SpongeBob SquarePants: Battle for Bikini Bottom – Rehydrated, Sea of Thieves and is currently working on The Guild 3 as well as two not yet publicly disclosed games.
Through the acquisition, THQ Nordic onboards a longstanding partner to the group to create an even closer collaboration with the experienced team of PLS. Going forward, PLS will work exclusively on titles on THQ Nordic’s behalf, where the two companies are jointly working on two upcoming titles currently in development. PLS’ focus after the acquisition will primarily be centered around developing games based on licensed IP, where THQ Nordic sees synergies in development and production.
Within the Embracer Group, PLS will operate as an independent studio under THQ Nordic. PLS will continue working as a development studio exclusively focusing on titles for THQ Nordic and continuing developing premium games related to licensed IPs. Embracer sees potential in the extensive experience of the PLS team and their considerable work with third-party licensing IPs. The acquisition will strengthen the established partnership between THQ Nordic and PLS, with two titles already in development.
“We’ve been working with THQ Nordic since the foundation of Purple Lamp and their support and openness has made working with them a pleasure. Their respect for IPs and fans, as well as their clear passion for games, matches our studio goals, so deepening our partnership feels like a perfect fit. We’re very excited to be joining the THQ Nordic family and seeing where the future takes us!” says Andrew Hance, CEO Purple Lamp Studios.
A Thinking Ape
Embracer Group, through its wholly owned subsidiary DECA Games, has entered into an agreement to acquire 100% of the shares in the Canada-based A Thinking Ape Entertainment Ltd.
Founded in 2008 and based in Vancouver, A Thinking Ape is a developer of mobile Free-to-Play (FTP) games with a social core. The day one purchase price amounts to approximately MUSD 31 equivalent to MUSD 28 on a cash and debt free basis and is paid in cash and newly issued Embracer B shares plus additional consideration over 10 years, subject to fulfilment of agreed financial milestones, of a maximum MUSD 74.
“A Thinking Ape is one of the most respected mobile game studios in the industry. They’ve been successful for over a decade and we believe they are on the cusp of stepping up to an even bigger level. I’m delighted to join forces with Kenshi and the rest of his team” says Ken Go, Founder and CEO, DECA Games.
A Thinking Ape is a Canadian mobile Free-to-Play game development studio, founded in 2008 by Kenshi Arasaki (CEO), Wilkins Chung and Eric Diep. A Thinking Ape started off in California, USA, as a chat-platform with the desire to build engaging communities online. In 2010, A Thinking Ape relocated to Vancouver, an active hub for game development in Canada. A Thinking Ape has since grown into a game development studio building mobile games with a social core. The team today consists of 82 people with a unique and diverse set of backgrounds who together have developed mobile game titles like Party in My Dorm, Kingdoms at War, Casino X and Kingdom of Heckfire, all four constituting owned IPs.
The community focus is present in every part of A Thinking Ape’s operations, with all current titles being characterized by a social dimension at their core. Through its communities, A Thinking Ape has established a committed player-base and great longevity for its mobile games. As a result, one third of all Daily Active Customer accounts have been active for more than three years. The title Party in My Dorm, a college life roleplaying game first released in 2010, achieved all time high revenues ten years after its initial release, and has a player audience that is primarily female. The title Kingdoms of Heckfire, a 4X kingdom builder strategy game, has a player audience that is primarily male, and has achieved impressive per-user monetization, often exceeding USD 2.00 ARPDAU. With a diversified player audience, A Thinking Ape’s mobile games titles have generated lifetime revenues of MUSD 190 and over 30 million accounts have been created to date.
The acquisition marks an important milestone as the first extension of the new DECA operating unit, creating a full-scale mobile and FTP operation with expertise across IP origination, development, User Acquisition ("UA") and Live operations ("Live Ops"). With four original IPs and renewed game titles, A Thinking Ape brings an engaged player community as well as development and UA capabilities in FTP mobile games into the operating unit and complements DECA’s portfolio of mobile game IPs. Cooperating with DECA will provide Live Ops expertise and competence to enable for A thinking Ape to realize additional potential and accelerate organic growth.
As part of the Embracer Group, A Thinking Ape will operate as an independent studio within the DECA operating unit with continued focus on Free-to-Play games. A Thinking Ape will significantly strengthen the UA capabilities of the new DECA operating group as well as adding additional high quality development talent within the mobile FTP games segment. A Thinking Ape strengthens Embracer Group’s presence in the vibrant Canadian developer scene and provides a platform for expansion in Canada going forward.
“Today, A Thinking Ape becomes part of Embracer and joins the ranks of a wonderful group of entrepreneurs. I have been continually impressed by the sheer scope of Embracer's ambition and strategy, and we look forward to helping build out an enduring and long-term mobile free to play organization” says Kenshi Arasaki, Co-founder and CEO A Thinking Ape Entertainment.
Silent Games
Embracer Group, through its wholly owned subsidiary Amplifier Game Invest, has today entered into an agreement to acquire 100% of Silent Games Ltd.
Silent Games is a UK based studio founded by Sally Blake and Joseph Rogers, experienced developers and award-winning mentors within the British game development scene. The acquisition marks the first investment by Amplifier in the British Isles, one of the strongest hubs for Game Development in the world.
“Silent Games embodies the kind of company we love to support. Highly creative game developers with a strong production background, fueled by passion and engagement, while remaining firmly connected with the local game development community allows us to commit fully to this venture” says Per-Arne Lundberg, CEO Amplifier Game Invest.
Silent Games, founded in 2018, is a game development studio seated in Newcastle upon Tyne, one of northern England’s foremost hubs for games and creative industries. With strong ties to game education at Teesside University, and a deep connection to the British Game Development community, Sally Blake and Joseph Rogers intend to be growing Silent Games from the current team of four persons into a 30 person strong studio over the coming years.
The team plans to build a series of games in a Universe of their own making, ideally suited for a long-lasting franchise, with the first game planned for a 2023 release. Through innovation in game design and co-operative multiplayer technologies, the games aim to allow players to unearth deep secrets of an ancient civilization while unraveling the strong narrative of the present.
“We are incredibly excited for the opportunity to work with Amplifier and the Embracer group building our brand new IP for PC and Console from the ground up. Our long-term partnership will allow for significant growth in Silent Games, and enable us to create a studio that is focused on securing and developing talent in the region for many years to come” says Sally Blake, CEO & Co-founder, Silent Games.
Silent Games becomes a fully owned subsidiary of Amplifier, joining the ranks of 8 other wholly or majority owned game development studios already part of the Amplifier family. Amplifier Game Invest is one of the six operating groups within Embracer Group.
Nimble Giant Entertainment
Embracer Group, through its wholly owned subsidiary Saber Interactive, has today entered into an agreement to acquire 100 percent of the shares in Argentina-based Nimble Giant Entertainment ("NGE").
NGE is the leading Latin American PC and console game developer with a reputable team of 75 people. NGE has produced more than 30 titles over almost 2 decades and several own IP games, with two of the most important titles being Champions of Regnum and Quantum League. The team exhibits further capabilities to advance into AAA productions. Through the acquisition, Saber onboards a sizable studio with leadership that has extensive experience within the gaming industry.
“Game development in Latin America is thriving and Nimble Giant Entertainment attracts some the best talent in the region. We are excited to make NGE part of Saber not only because of their ability to help us to explore existing Embracer IP but also because they have the talent to create their own brands” says Matthew Karch, CEO Saber Interactive and Director of the Embracer Board.
Nimble Giant Entertainment is an independent PC and console game developer, founded in 2002 and headquartered in Buenos Aires, Argentina. With a sizable team of 75 people, the company has generated more than 30 titles over almost 2 decades and several own IP games. Two of the most important ones being Champions of Regnum and Quantum League. Champions of Regnum is a Free-to-Play fantasy MMO role-playing game released in 2007 and Quantum League, with an early access release in 2020, is an online First-Person shooter game mixing arena competition with time travel mechanics. The studio currently has a premium title in the production pipeline, expected to be released in 2023.
NGE has collaborated with leading publishers and partners throughout the gaming industry on several successful projects and released titles, including Master of Orion (Wargaming) and downloadable content for Endless Legend (Amplitude Studios/SEGA). NGE also co-developed and published Hellbound with fellow Argentinian developer Saibot Studios, further establishing its presence in this growing regional video game scene.
Through the acquisition, Saber onboards a leading studio in Latin America exhibiting the right mindset and energy, with proven experience of delivering a project from idea to market. Saber sees potential in the studio’s strong capabilities in developing and publishing original titles and Saber looks forward to supporting NGE on their journey to become a developer with AAA production capacities.
Within the Embracer Group, NGE will continue to operate as an independent studio under Saber. NGE strengthens Embracer’s international footprint as the first studio in Argentina and establishes a strong foothold for further growth in Latin America. Saber will collaborate with NGE, by leveraging the expertise of both teams, in their continued focus on developing strong PC and console game titles.
“We are excited to join the Saber Interactive family today. We are confident it is a solid step forward consolidating our position as the leading developer for PC and Console in Latin America and continue our march to achieve our vision of becoming a World Class Game Developer. Good things ahead, stay tuned.” says Martin Cao, CEO Nimble Giant Entertainment.
IUGO Mobile Entertainment
Embracer Group, through its wholly owned subsidiary DECA Games, has today entered into an agreement to acquire 100% of the shares in Canada-based IUGO Mobile Entertainment Inc. ("IUGO"). IUGO is a Canadian mobile Free-to-Play ("FTP") game developer with longstanding experience from the gaming industry consisting of a sizable team of 86 people.
“I’m extremely happy and excited to welcome Hong Yee and the entire IUGO team to the Embracer family. Their 17 year track record of developing top grossing titles is truly impressive and their strong relationships with IP holders and publishers will be a major asset to the new operating unit” says Ken Go, Founder and CEO, DECA Games.
IUGO is a game development studio focused on mobile FTP games, founded in 2003 by Hong-Yee Wong. The company is based in Vancouver, an active hub for game development in Canada. IUGO today consists of 86 people with a unique and diverse set of backgrounds, a team reputed for developing top-grossing game titles in collaboration with leading global publishers and top tier IP licensors within their WFH business.
IUGO is the co-creator and developer of the mobile title The Walking Dead: Road to Survival that was released in 2015. The popular game has more than 45 million installs globally and was awarded as one of the ‘Best Game of 2016’ on Google Play. IUGO has also collaborated with global publishing partners on mobile game titles Middle-Earth: Shadows of War and Knights & Dragons, the later now in DECA’s IP portfolio since 2019.
The studio currently has an original IP in production with expected release during 2021, and additionally plans new WFH project together with external publishers in 2021 as well.
The acquisition marks an important milestone as DECA expand its operations within the FTP mobile games segment, establishing an operating unit together with IUGO, to create a full-scale mobile and FTP operation with expertise across IP origination, development User Acquisition and Live operations. With the acquisition, DECA onboards a sizable team of 86 developers with proven ability of producing award-winning mobile games, strengthening the development capabilities of the DECA operating unit. Embracer will provide resources for IUGO to pursue new own IP projects while continuing to scale up of their business offering pursuing further B2B opportunities.
IUGO strengthens Embracer Group’s presence in the vibrant Canadian developer scene and provides a platform for expansion in the Vancouver region going forward.
“This is an exhilarating time for mobile games and we are thrilled to join the Embracer Group. We have strong alignment in core values and share common strategies in long term thinking and planning. IUGO is devoted to creating great mobile game experiences and this collaboration will propel us to play an even bigger role in the industry” says Hong-Yee Wong, Founder & President IUGO Mobile Entertainment.
Coffee Stain North
Embracer Group has entered into an agreement to acquire the remaining 40 percent of the shares in Coffee Stain North AB ("CSN"), from the nine original founders. CSN is a 22-person strong game studio located in Stockholm, Sweden. The acquisition makes CSN a wholly owned subsidiary of Coffee Stain Holding AB (“Coffee Stain”).
“We're really happy to get this deal done. We've worked with CSN since 2013 and their team is a great addition to the Coffee Stain group. There's some really exciting stuff being worked on that we can't wait to share with the world!” says Anton Westbergh, CEO Coffee Stain Studios.
CSN is a game development studio founded in 2013. The studio, consisting of a smaller team of 22 dedicated developers, is based in Stockholm, Sweden. CSN has been a longstanding partner of Coffee Stain Studios and a partly owned subsidiary since 2018. CSN has collaborated on the phenomena Goat Simulator and developed the original title A Story About My Uncle. CSN currently has a title in production with expected release during 2021, an ongoing collaboration with Coffee Stain Studios since 2017.
With the acquisition, Coffee Stain look forward to continuing the longstanding partnership with the team of CSN.
Quantic Lab
Embracer Group has entered into an agreement to acquire 95% of the shares in Quantic Lab.
Quantic Lab, based in Cluj-Napoca, Romania, is a software outsourcing company specialized in Quality Assurance ("QA") for gaming and applications. The purchase price of MEUR 4.75 is paid in cash and represent a corresponding Enterprise Value of MEUR 5 for 100 percent ownership on a cash and debt free basis.
“The gradual expansion of Quantic Lab under Stefan Seicarescu’s independent leadership over the past decade has been exciting to follow. As quality assurance is becoming ever more important for all industry participants, Quantic Lab has a key role to play. It will be business as usual in Romania, as Embracer will continue to support Stefan in his venture to take Quantic Lab to the next level, while continuing to support its internal and external partners” says Lars Wingefors, Founder and Group CEO of Embracer Group.
Quantic Lab was founded in 2006 by Stefan Seicarescu, current CEO, and has since grown, from being a start-up with a small team of 12 persons, into a leading QA company with more than 60 active clients and 390 employees in 3 office locations in Romania.
Quantic Lab provides QA services for gaming platforms ranging from consoles to mobile, with testing services for the full game production cycle, including among others localization tests, gameplay testing, and UX/UI experience testing. Quantic Lab has extensive experience of working with leading publishers and developers within the gaming industry, providing QA services both in shorter critical project phases and as longstanding partnership from pre-production throughout release with post-release quality testing.
Quantic Lab is an independent business with many international clients but has also historically collaborated with several companies within the Embracer Group, primarily THQ Nordic.
“It brings me great joy that Quantic Lab joins Embracer family today. I founded the company on a set of values that are part of Embracer’s vision as well: passion, integrity, quality, flexibility and continuous improvement. This is an important milestone in our 15 years long journey bringing up new possibilities in our continuous evolution. We have known Lars for more than nine years, and we have been successfully working with Embracer’s companies ever since. We will remain an independent service provider, while using this opportunity to increase our strength on the QA market and continuing our great collaboration with historic partners worldwide” says Stefan Seicarescu, CEO Quantic Lab.
Quantic Lab will continue to operate as an independent gaming QA and software outsourcing company directly under Embracer, with Stefan Seicarescu continuing in his position as CEO of the company. Quantic Lab complements Embracer’s strategy to “partner within the industry”, including work-for-hire and Partner Publishing.
Sandbox Strategies
Embracer Group, through its wholly owned subsidiary Saber Interactive, has today entered into an agreement to acquire 100% of the shares in Sandbox Strategies, LLC ("Sandbox Strategies").
Sandbox Strategies, based in New York, USA, is a PR and influencer relations agency, specialized in content creation for gaming and entertainment. Through the acquisition, Embracer onboards an “earned media” group to collaborate on future innovative gaming content creation across the organization.
“Sandbox Strategies has been Saber Interactive’s PR and influencer team for many years, and has helped us position, message, and support our communities on various projects. We have seen first-hand the hard work, dedication to excellence, and positive impact Sandbox has had on our games. We felt that bringing Sandbox internal would allow us to have an even closer working relationship with their entire team, as our interests will be completely aligned. We feel with the acquisitions of new studios and the development of more games that having an “earned media” group inside Embracer Group would be a benefit across the entire organization” says Matthew Karch, CEO Saber Interactive and Director of the Embracer Board.
Sandbox Strategies was founded in 2005 by Corey Wade and Rob Fleischer, whom together with Shaun Norton have created a strong leadership team with extensive experience from the gaming industry. Sandbox Strategies has established itself as a media agency with core expertise within PR, influencer outreach and marketing consulting for video games. With a small team of passionate people dedicated to video games, Sandbox Strategies focuses on delivering strategic gaming content across a wide range of media platforms. Sandbox Strategies has a longstanding history of collaborating with companies within the Embracer Group, primarily Saber, as well as THQ Nordic.
“After fifteen years as an agency promoting video games, we are thrilled that Sandbox has found a home in the Embracer family. While we will remain a stand-alone group continuing to work with our wonderful clients all around the gaming industry to reach press and content creators, we look forward to building on the years of success we have had with Saber Interactive and collaborating more extensively with other developers and publishers within Embracer” says Rob Fleischer, Vice President, Media and Influencer Relations, Sandbox Strategies.