Borderlands maker Gearbox Entertainment is on the verge of joining Saber Interactive in being bought out of the sinking ship that is the Embracer Group, a new Kotaku report claims. It's stated that CEO Randy Pitchford shared the news with employees during a town hall meeting earlier this week, with more information coming in March. The site "understands that the decision was made to sell, and a deal is in the late stages of being finalized".
Kotaku reached out to the company for comment on the story, to which Pitchford actually responded: "I’m delighted that what we might be up to is interesting enough to people that you want to make a story about us for your readers. I’m honored and humbled that our company is a topic of rumor, speculation, and discussion. As always, we will be thrilled to share whenever we have projects to announce or news to share as we work hard towards our mission to entertain the world."
Just yesterday, it was confirmed Saber Interactive will be sold to private investors for $500 million. The firm is made up of over 20 development teams, who will find a new home elsewhere as the Embracer Group continues to crumble as a result of layoffs and studio closures. Should Gearbox leave the company too, it'll mark a significant loss in IP and development talent.
[source kotaku.com]
Comments 18
Interesting. I think the title is a bit misleading, as I understood it as Gearbox being bought by the same party as Saber.
I checked the terms of the initial purchase -$360m initially and about $1bn deferred over 6 years. Wonder how much loss Embracer will post on both of these transactions?
Come on IP and development talent! Get out of thy shackles of thy treacherous Embracer Group! Be free, be free!
The industry dissolution begins 🙌
When Randy Pitchford becomes the good guy in the story, you have truly reached the 9th level of hell.
Is Saber being bought? Or are they buying themselves out from embracer similar to when Bunjie bought their freedom from Activision.
Better to sell than to close down a studio, right Sony?
This would be a smart (and likely cheap) investment for someone like Sony. Borderlands still has tons of potential and name recognition but has definitely gotten stale over the last few entries.
Someone like Sony could make those games for far less money than say a god of war or last of us style production and use some outside talent to help change up the formula.
About time more companies leave the dumpster fire that is Embracer Group, hope this continues.
@Colour
They need to put a ring on Arrowhead's finger before looking anywhere else. Arrowhead and Sony have worked together a long time and Arrowhead is clearly able to make the kind of games Sony needs in their stable. The studio is small, so should not be expensive, either.
Embracer: Wow! Thanks for the cash,we need it! Here we'll even throw in Gearbox!
Private Equity Group: We're happy to take 'em,but you can keep Randy!🙄
Randy: But I have THE USB STICK!!😤
Private Equity Group: Yuck,no you keep Randy guys!🙄
Embracer: C'mon,be fair look what we're giving you...we'll even throw in Borderlands!!🙏😬
Private Equity Group: Oooh,alright then!🙄😑
Randy: Everything is coming up Randy,wahoo!!😁
EMBRACER TRY NOT TO IMPLODE FOR LIKE A FULL WEEK CHALLENGE (IMPOSSIBLE DIFFICULTY)
@UltimateOtaku91 It says Saber will be sold for $500 million to private investors but maybe they've secured the money from the investors to buy their freedom. I guess we'll just have to wait until we get more info but now I'm curious who's buying gearbox.
A private investor can't wait to see go to hell a second time.
@TheCollector316 Yeah I totally agree. Can’t get away from the cinematic super games they’re known for but some of these smaller studios are needed for the interstitial games. Helldivers is clearly paying off huge.
Whoever got Saber has gotten a great get.
@UltimateOtaku91 It was my understanding they secured capital to buy themselves out but I could be wrong.
It's rather remarkable that threads on nerd video game websites could see that Embracers rapid expansion based on market trends and apparently nothing else was going to end badly.
Unless of course these buyouts, and I'm assuming plenty of tax exemptions were the plan all along....
I feel sorry for those left behind with Embracer. It's a sinking ship and everyone knows it.
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