THQ Nordic Parent Company Embracer Group Acquires Saber Interactive

Embracer Group acquires Saber Interactive – initial consideration USD 150 million

Embracer Group enters into an agreement to acquire the assets of US-based Saber Interactive. Saber Interactive is a leading game developer and publisher with more than 600 employees across six offices. During 2019 Saber Interactive realised approximately USD 105 million of revenues and USD 62 million of EBIT. The purchase price includes an initial consideration of USD 150 million, plus an earn-out consideration, subject to fulfilment of agreed milestones, of a maximum USD 375 million. Post closing, Saber Interactive will become Embracer Group’s fifth operating group and Saber Interactive’s co-founders and owners, Matthew Karch and Andrey Iones, will jointly become Embracer Group’s second largest shareholder.

“Saber has been on our radar for a very long time because of their deep history of consistently high-quality work. Their ambitious moves towards self-funding projects in recent years have been particularly impressive, especially with World War Z, which sold more than three million units. While Saber will remain a standalone company within Embracer Group, we look forward to collaborating with them to elevate their ability to create and market premier titles.”, says Lars Wingefors, Founder and CEO of Embracer Group.

“Over the course of 19 years as an independent developer, Saber has had its share of suitors. With Embracer Group, we’ve at last found the perfect partner. We could not be more thrilled to see through the many projects we’ve dreamed of together.” says Matthew Karch, Co-Founder and CEO of Saber Interactive.

Embracer Group AB has entered into an agreement to acquire the assets of Saber Interactive and related entities, including studios in Russia, Sweden, Belarus, Spain, and Portugal, and including the shares of certain related companies. The sellers are the owners Andrey Iones and Matthew Karch as well as one corporation controlled by them. The purchase price amounts to USD 150 million on a cash and debt free basis in a combination of cash and newly issued A and B shares of Embracer Group at closing, and a potential earn-out payment of USD 375 million, assuming certain objectives and conditions being fulfilled, in a combination of cash and newly issued A and B shares of Embracer Group. The total consideration, assuming full earn-out, thus amounts to USD 525 million.

Saber Interactive is an independent developer and publisher of top-quality video games for PC, consoles and mobile platforms, headquartered in Maplewood, New Jersey with close to 20 years in the industry and with 590 internal developers across its studios in Russia, Spain, Portugal, Belarus, and Sweden.

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