By Sagar V. Mankar In a major turn of events, Embracer Group has reportedly sold out one of its developer subsidiary Saber Interactive to a group of private investors for $500 million.
This move marks a major shift for the Swedish holding company and the future of Saber’s upcoming games.
So what exactly does this separation mean?
Who Is Saber Interactive?
For those unfamiliar, Saber Interactive is a major game developer and publisher known for working on titles like Halo: The Master Chief Collection, Snowrunner, and World War Z.
The company has over 3,500 employees worldwide from the US, Portugal, and Russia.
In 2020, Saber was acquired by Embracer Group for $525 million.
Under Embracer, the developer has been working on big upcoming games like Warhammer 40,000: Space Marine 2 and the Star Wars: Knights of the Old Republic remake.
With its reputation, Saudi Arabia also invests a huge $2 Billion in Embracer to support Saber and other studios’ projects.
Why Did Saber Leave Embracer Group?
According to reports from Bloomberg, Saber Interactive has broken away from Embracer Group and will now operate as a privately owned company.
This comes amid cost-cutting efforts and layoffs enacted across Embracer’s many subsidiaries.
During the pandemic, Embracer Group bought tons of gaming studios (27+) under the leadership of CEO Lars Wingefors.
However the post-pandemic effect and gaming market slowdown, led many companies including Embracer Group, to cut costs through layoffs and selling loss property,
Now by exiting Embracer, Saber gains financial security and escapes demands from public shareholders – at least in the short term.
The move also protects the company from potential cost-cutting efforts from Embracer but also the challenge of going alone.
What This Means For Saber’s Upcoming Games
With this separation, Saber’s in-development games like Warhammer: Space Marine 2 and KOTOR are likely to be delayed.
Space Marine 2 is still slated for a September 2024 release, while no date has been set for the KOTOR remake.
While timelines could certainly still shift, Saber now has more financial freedom to focus resources on these major projects.