Embracer Group has introduced plans to divest Gearbox Studios in a sale to Take-Two Interactive valued at $460 million to be made up solely of newly issued Take-Two shares. Take-Two has confirmed that Gearbox is engaged on a brand new Borderlands sport.
In response to a press release from the online game holding firm, it’s divesting Gearbox Software program, Gearbox Montreal, Gearbox Studio Quebec, and the franchises Borderlands, Tiny Tina’s Wonderlands, Homeworld, Danger of Rain, Brothers in Arms, and Duke Nukem.
The divested properties will be a part of Take-Two’s 2K division, which has lengthy been a publishing accomplice of Gearbox. They’ve revealed the profitable Borderlands video games franchise because the first one in 2009. Gearbox will proceed to be led by its founder and CEO Randy Pitchford.
The sale doesn’t embrace studios that have been bought by Embracer via Gearbox, together with Cryptic Studios, Misplaced Boys Interactive, and Captured Dimensions. It additionally doesn’t embrace Gearbox Publishing in San Francisco, publishers of Remnant 2, and homeowners of the publishing rights of a number of upcoming titles, together with Hyper Mild Breaker.
The tip of Embracer’s restructuring?
This divestment marks the obvious finish of a deliberate restructuring which resulted in over 1300 layoffs at Embracer-owned companies.
“In the present day’s announcement marks the results of the ultimate structured divestment course of and is a crucial step in remodeling Embracer into the longer term with notably decrease internet debt and improved free money move. By the transaction, we decrease enterprise threat and enhance profitability as we transition to changing into a leaner and extra centered firm,” says Lars Wingefors, co-founder and CEO of Embracer.
Randy Pitchford stated that regardless of being a long-term shareholder in Embracer Group, he believed that this was probably the most optimistic final result for Embracer, Take-Two, and Gearbox. “My main curiosity is all the time Gearbox, particularly our expertise and our prospects. I wish to personally guarantee followers of our video games that this association will be sure that the experiences we have now in growth at Gearbox would be the finest they’ll probably be,” he stated.