Take-Two acquires Gearbox from Embracer for $460 million

More big changes are happening on the business side of the video game world, with a famous name changing hands once again. Take-Two Interactive, the parent company of Grand Theft Auto publisher Rockstar and others, must acquire Gearbox Entertainment from the troubled Embracer Group. The deal, worth $460 million in stock, is expected to close on June 30. Embracer originally planned to sell Gearbox.

Take-Two is acquiring three studios: Gearbox Software, Gearbox Montréal and Gearbox Studio Quebec. It will fully own the Tiny Tina’s Wonderlands, Homeworld, Risk of Rain, Brothers in Arms and Duke Nukem series, as well as “Gearbox’s future product line.” Gearbox will operate under the 2K umbrella, which has published the Borderlands and Tiny Tina games. Gearbox founder and CEO Randy Pitchford will remain at the helm.

Embracer is acquiring San Francisco-based Gearbox Publishing, which will change its name. Owns the publishing rights of the “Relics” series, and unannounced games. Embracer will also retain Cryptic Studios (Neverwinter Online and StarCraft Battlefront), the dimension of interaction and capture in The Lost Boys.

Take-Two noted that Gearbox has “six key interactive entertainment projects in various stages of development.”including five sequels, including Home 3 And the next Borderlands game.

The Hugger was initially sold for $363 million. The deal would add an additional $1 billion over six years if Gearbox meets certain targets.

Embracer has gone through a rough patch since acquiring Gearbox. Last year, an investment deal worth $2 billion, said to be from a group backed by Saudi Arabia’s sovereign wealth fund, fell through. Since then, Embracer has owned and. The company hosted 1,387 spectators in the second half of last year and canceled 29 unannounced matches in the six months of 2023.

Elsewhere in the video game business, Sega also sold Relic Entertainment (Warhammer 40,000 and Company of Heroes), which Thanks to a mystery investor for his help. Sega has also made massive video game layoffs in Europe so far this year. Sega Europe (Total War) and Hardlight Studios (two o’clock hospital) is said to have been affected.