Saber Interactive has split from Embracer, with at least 38 ongoing game development projects among the divested assets and over 3,000 staff moving across. However, a number of key studios remain at Embracer, including Tripwire, Aspyr, and Beamdog.

The deal is initially valued at $247 million, with the buyer named as Beacon Interactive, a company set up and controlled by Saber Interactive co-founder Matthew Karch. As a result, Embracer has ceased all operations in Russia. It appears jobs were secured as part of the deal.

There are a number of interesting points in the deal. For example, Beacon Interactive has the option right to acquire Metro developer 4A Games and Pinball developer Zen Studios for a fixed price within a certain time period. According to Bloomberg reporter Jason Schreier, Beacon Interactive has indeed decided to buy both studios. Long-term license and publishing rights to all current and future PC and console games in the Metro franchise are held within the Embracer operative group Plaion, Embracer said.

The studios and their owned or licensed IP now a part of Beacon Interactive are:

• All Saber branded studios
• Nimble Giant (Star Trek: Infinite)
• DIGIC (3D animation studio)
• Saber Interactive Inc. (Warhammer 40,000: Space Marine 2, Star Wars: Knights of the Old Republic remake)
• Fractured Byte (support studio)
• Sandbox Strategies (PR agency)
• Mad Head Games (Scars Above)
• Slipgate (Kingpin Reloaded, Graven)
• New World Interactive (Insurgency, Day of Infamy, Insurgency: Sandstorm)
• 3D Realms (Ion Fury)

Embracer will retain the following studios and companies:

• 34 Big Things (Redout)
• Shiver (support)
• 4A Games (Metro)
• Snapshot (Phoenix Point, Chaos Reborn)
• Aspyr (Tomb Raider I–III Remastered Starring Lara Croft, Star Wars: Battlefront Classic Collection)
• Tripwire (Killing Floor)
• Beamdog (Mythforce)
• Tuxedo Labs (Teardown)
• Demiurge (Sega Heroes)
• Zen Studios (Pinball FX and Zen Pinball)

While Saber Interactive has split from Embracer, Embracer itself retains 14 Saber games already in the works, including two joint projects with Beacon Interactive. They are:

• The next AAA game from Metro developer 4A Games
• An unannounced concept phase AAA game
• A previously announced AAA game based on a major license (this is either Warhammer 40,000: Space Marine 2 or the Star Wars: Knights of the Old Republic remake, both currently in development at Saber Interactive)
• A new AAA multiplayer shooter based on a controlled IP
• A new AA game based on an Asmodee IP
• A new AA game from 34 Big Things based on an owned IP
• Killing Floor 3
• Teardown (ongoing development)
• The full upcoming pipeline and back catalog from Zen Studios, Aspyr and Tripwire

Lars Wingefors, co-founder and group CEO of Embracer, called the deal a “win-win solution” for Embracer and the parts of Saber that now leave the embattled company. Wingefors said it was “safeguarding many developer jobs” under the new ownership. Crucially, Wingefors called the Saber deal the “first transaction”, with a deal for Borderlands maker Gearbox to leave Embracer waiting in the wings.

“This divestment leaves both parties in much better positions to grow our respective businesses,” Karch said. “I will continue to remain a large, long-term shareholder of Embracer and we will remain partners on several ongoing and future projects. This transaction also safeguards the livelihoods of hundreds of professionals, many of whom I have worked with for over two decades.”

Last month, Embracer warned of further layoffs despite letting go 1,387 staff since its high-profile restructuring began in June. Embracer’s total headcount had reduced by 904 during the second quarter of its financial year, then by another 483 in the third quarter. That amounted to 8% of the group’s global workforce. The company also canceled 29 unannounced games during the two quarters.

At the time, Wingefors said Embracer was in the process of selling off parts of its business, Borderlands developer Gearbox up for sale. Embracer bought Gearbox in February 2021 as part of an acquisition spree that included snapping up Tomb Raider developer Crystal Dynamics, among many other studios.

Embracer Group’s financial struggles began following the collapse of a $2 billion deal, reportedly with Saudi government funded company Savvy Games Group. The Swedish firm has since come under fire for the sweeping cuts it has already made, including the closure of long-running Saints Row maker Volition.

Wesley is the UK News Editor for IGN. Find him on Twitter at @wyp100. You can reach Wesley at [email protected] or confidentially at [email protected].