Embracer Group Looking to Buy Over 150 Gaming Companies, 20 Are in “Late-Stage Talks”
Are you under the impression Embracer Group (formerly THQ Nordic) may eventually ease off on the acquisitions? That at some point they’ll finally have enough studios? Well, think again! Around six months ago we reported that Embracer was in acquisition talks with over 100 developers/publishers and shortly afterward they announced the purchase of Gearbox Software, Aspyr Media, and Easybrain. Well, things have only ramped up further since then.
As part of their most recent earnings report, Embracer Group revealed they’re currently looking to buy over 150 companies, with "late-stage talks" happening with more than 20 of them, so expect some announcements soon!
Embracer Group $EMBRAC has been talking to more than 150 companies about a potential acquisition.
The company has "late-stage talks" with more than 20. I guess we can expect a lot of acquisition news later this year. pic.twitter.com/fczflE2cpi
— EmbracerInvestor (@EmbracerInvest) May 20, 2021
During the quarter (ending March), we have engaged with more than 150 companies about joining the group, including larger companies that could form additional operating groups and have a significant impact on the group as a whole. Across the group, we are in more than 20 late-stage talks.
All shall be Embraced! As I’ve said before, it’s difficult to say what the end goal of all these acquisitions is as no other gaming company has ever really acted this way. Despite all the money spent and studios hoarded, the number of truly great games created under the Embracer umbrella is still relatively small, but who knows? Maybe they’re negotiating with a studio that’s working on a GOTY contender as we speak. I’d love to see Embracer focus more on game quality and consistency, rather than even more acquisitions, but it seems like they’re committed to this path.
Who do you think might be joining the ever-growing Embracer Group family next? Is this ongoing spending spree a good thing for the industry or do you view all this with a cautious eye?