Embracer acquires Crystal Dynamics and other Square Enix studios

The Swedish group Embracer announced the acquisition of three studios that were part of the giant Square Enix. From now on, Crystal Dynamics, Eidos-Montreal, and Square Enix Montreal will move to a new home.

This also means that a catalog of more than 50 franchises will be transferred, including successful series and several recent titles - names like Tomb Raider, Deus Ex, Thief, and Legacy of Kain. The approximately 1,100 employees of the three studios, working in eight different countries, will also make the company transition.

According to Embracer co-founder Lars Wingefors, they are "We are thrilled to welcome these studios into the Embracer Group. We recognize the fantastic IP, world class creative talent, and track record of excellence that have been demonstrated time and again over the past decades." Embracer said these studios will receive new business goals and keep their funding for ongoing projects, such as the already confirmed new game in the Tomb Raider series on Unreal Engine 5, cited in the official statement.

On the other hand, Square Enix claims that its purpose of the transaction is to enable the launch of new businesses by moving forward with investments in fields including blockchain, AI, and the cloud. Earlier this year, Yosuke Matsuda, Square Enix's president, shared his thoughts and interests in tapping on NFTs, meta-verse, and blockchain-based games.

Who's Embracer Group?

In total, the deal involved $300 million, but the transaction is subject to various regulatory and other external approvals. It is expected to be finalized by September 2022, and further details about the transferred properties should be announced soon.

If you're scratching your head wondering who's Embracer, fret not, the group remains slightly discreet while boasting an array of powerhouses studios such as THQ Nordic (Elex, Destroy All Humans, Biomutant), Gearbox (Borderlands, Tiny Tina's Wonderlands), Saber Interactive (World War Z, Evil Dead) and many others.

Meanwhile, let's hope Square Enix will give all the care to its Japanese studios and deliver excellence in upcoming games like Final Fantasy XVI and Kingdom Hearts IV. Although Forspoken has a western theme, it is being developed by Luminous Productions, a Japanese studio.