Square Enix Surprisingly Sells Deus Ex and Tomb Raider IPs, Eidos Montreal, Crystal Dynamics and More to Embracer Group

the group of kissers, the giant corporation that includes THQ Nordic, Saber Interactive and Gearbox Software, among others, has reached an agreement with Square Enix to acquire a whole range of intellectual properties and associated studios. Franchises that will be acquired by Embracer include Tomb Raider, Deus Ex and Thief. More than 50 other IP addresses will also be part of the $300 million deal, which is based on a “Cashless and debt-free, paid in full at closing” and allows the Embracer group to grow by approximately 1,100 employees. Deus Ex developer Eidos Montreal and Tomb Raider studio Crystal Dynamics will be included in the deal.

The acquisition is expected to be completed in Embracer’s 2022-23 fiscal year, July to September 2022. This means that the next new Tomb Raider title, developed using Unreal Engine 5, will be placed under the aegis of Embracer. Square Enix attributes the sale to “changes in the global business environment.”

Square Enix added: “Furthermore, the transaction helps launch new businesses by stimulating investment in areas such as blockchain, AI and cloud.” The company will continue to release games from its studios in Japan, as well as from outside studios and the Square Enix Collective label, and “Get out of franchises like Just Cause, Outriders and Life is Strange.”

“We are delighted to welcome these studios to the Embracer group”comments Lars Wingefor, co-founder and CEO of Embracer Group. “We recognize the fantastic intellectual property, world-class creative talent and track record of excellence demonstrated time and time again over the past decades. It was a great pleasure to meet with the management teams and discuss future plans for realizing their ambitions and become an important part of Embracer.

Embracer currently has over 230 game IPs and over 30 AAA games in its portfolio, with over 14,000 employees, 10,000 developers and 124 in-house studios. “This acquisition will expand Embracer’s current AAA segment and Embracer will have one of the industry’s largest PC/console game pipelines across all genres”Wingefors added.

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