Following
on
from
the
announcement
that
it
is
selling
Gearbox
Software
to
Take-Two
Interactive,
the
dumpster
fire
that
is
the
Embracer
Group
has
announced
that
its
restructuring
process
is
finally
over.
“We
are
ending
the
restructuring
programme
now,
end
of
March,
and
the
Gearbox
restructuring
process
has
been
part
of
that
programme.
Now
we
are
getting
approached,
I
would
say
not
quite
daily,
but
on
a
weekly
basis,
by
companies
that
would
like
to
acquire
certain
assets
within
the
group.
And
I’ve
been
very
clear
that
they’re
not
for
sale,
because
they’re
a
very
important
part
for
the
group
and
for
the
shareholders
of
the
group
going
forward,”
said
Embracer
CEO
Lars
Wingefors
during
an
earnings
call.
Advertisements
That
will
be
fantastic
news
for
everybody
working
under
Embracer,
all
of
whom
have
surely
spent
the
last
year
fearing
for
their
jobs.
Roughly
1,300
people
were
laid
off
due
to
Embracer
desperately
attempting
to
lower
its
tremendous
debt
which
it
accrued
by
buying
companies
at
a
staggering
rate.
By
early
2023,
the
group
owned
138
studios,
including
the
likes
of
Volition,
Gearbox,
4A,
Eidos
Montreal,
Saber
Interactive
and
Crystal
Dynamics.
The
majority
were
bought
up
in
the
last
five
years.
However,
in
2023
a
planned
deal
worth
$2-billion
fell
through
and
Embracer
found
itself
in
deep
trouble.
They
announced
plans
to
restructure
the
company,
resulting
in
job
losses,
studios
being
closed
and
studios
being
sold.
30
year
veterans
Volition,
the
developers
of
Saints
Row,
were
closed
while
Saber
Interactive
managed
to
buy
itself
and
become
an
independent
studio.
Free
Radical
was
also
shut
down
after
being
formed
by
Embracer
itself
to
make
a
new
Timesplitters
game.
During
the
earnings
call,
Lars
Wingefors
was
also
asked
whether
Embracer
plans
on
buying
anything
else,
a
daring
question
considering
the
company
nearly
burned
itself
to
the
ground
by
gobbling
up
too
much
too
quickly.
“Looking
to
do
more
[mergers
and
acquisitions]
deals
–
I
think
it’s
way
too
early
to
start
talking
about
restarting
the
M&A
engines
again,”
said
Wingefors.
“Now
we
are
in
the
late
phases
of
the
consideration
into
the
future
of
the
group,
and
that’s
our
highest
focus
and
priority
–
how
we
set
up
ourselves
and
structure
ourselves,
and
utilise
our
assets
we
have
within
the
group,
and
have
them
work
together,
and
how
we
leverage
them
better
working
together,
utilising
different
functions,
I
think
that’s
our
focus
right
now,
to
increase
profitability
and
cashflow
generation,
by
simply
making
better
products
and
games.”
At
this
point,
Embracer
still
owns
approximately
111
studios,
and
has
12,000+
employees.
Perhaps
I’m
wrong,
but
those
numbers
still
seem
far
too
high
to
be
sustainable.
I
hope
I’m
wrong,
but
I
don’t
think
Embracer
is
out
of
trouble
yet,
and
more
layoffs
and
closures
are
likely
to
occur.
