Current Events > Report: Embracer looking to sell Gearbox Software

(+) Yeah! (+)

Embracer Group is reportedly weighing up options on what to do with Borderlands developer Gearbox Entertainment, including selling the US-based studio, a report from Reuters claims.

Published earlier today, the report states that three people familiar with the situation have told Reuters that a sale is on the table as Embracer Group "looks to shore up its finances". Gearbox market materials are already reportedly available to view to potential buyers.

Two of Reuters' sources claim that it's mainly international gaming groups which have expressed interest but have also cautioned that a deal may not even happen. Representatives from Embracer Group and Goldman Sachs the company working with the studio to explore a potential sale have declined to comment to Reuters, with Aream & Co (an investment bank also involved in the deal) not responding to the request.

Embracer acquired Borderlands studio Gearbox Entertainment back in February 2021 for a staggering $1.35 billion, but the company has continued to bring in other developers, including Crystal Dynamics, Square Enix Montral, and Eidos-Montral.

But back in June 2023, Embracer announced a "restructuring program" which would include lay-offs following the collapse of a $2 billion deal, and at the beginning of September 2023, Saints Row developer Volition (which is one of the many studios under the Embracer umbrella) announced it was being shut down after 30 years.

https://www.nintendolife.com/news/2023/09/embracer-group-reportedly-looking-to-sell-borderlands-dev-gearbox-entertainment

Oh, hi Randy

hopefully Xbox doesn't buy them. no more gearbox games ><.

kingdrake2 posted...

hopefully Xbox doesn't buy them. no more gearbox games ><.

Acting like MS still kills devs when they have so much in the pipeline over the next several years is decades old energy, broheim.

MS may be my least favorite of the bunch, but they certainly are making moves to shore up their market presence.

Embracer Group is pretty damn big.

BearlyWilling posted...

they certainly are making moves to shore up their market presence.

we're all doing that in our own unique way.

They should sell gearbox to take two.

kingdrake2 posted...

hopefully Xbox doesn't buy them. no more gearbox games ><.

Plot Twist: EA buys them.

Such are the whims and machinations of a capricious industry.

Foppe posted...

Embracer Group is pretty damn big.

2 years ago when Squeenix sold off all their properties to this company for jack shit, it seemed like a fresh idea that a non-EA or Ubisoft company firm would support devs.

Now it's practically a worse approach to the capitalist gaming strategy.

Isn't Gearbox one of their only profitable devs?

I want Sega to revenge buy them for Alien Colonial Marines

Update: Bloomberg has corroborated Reuters' report from earlier today.

Reporter Jason Schreier shared that Bloomberg has seen an email written by Gearbox's Chief Communications Officer, which notes that there are "many options under consideration".

The letter reportedly says "The base case is that Gearbox remains a part of Embracer... However, there are many options under consideration, including Gearbox's transfer, taking Gearbox independent, and others. Ultimately, we'll move ahead with whichever path is best for both Gearbox and Embracer."

This letter matches up with Reuters' report, and reportedly ends by saying that "there will be a lot of speculation in the coming weeks."

https://www.nintendolife.com/news/2023/09/embracer-group-reportedly-looking-to-sell-borderlands-dev-gearbox-entertainment

Hope this doesn't have a big impact on Gearbox. Not that they have a lot of franchises, but I love the BLands universe and I'd absolutely want more in my life.