Embracer Group to Divest Arc Games and Cryptic Studios
Embracer Group has recently announced their decision to divest or sell off Arc Games and Cryptic Studios, as part of their ongoing restructuring efforts.
The agreement entails the sale of both Arc Games and Cryptic Studios to Project Golden Arc, with financial backing from publisher XD. The estimated net cash agreement stands at approximately $30 million.
Under this deal, Embracer will retain the publishing rights to the Remnant franchise and the multiplayer online game Fellowship, which will now fall under the Coffee Stain Group umbrella.
Embracer CEO Phil Rogers commented on the transaction in a press release, stating, “This transaction supports our key priorities by strengthening our focus on strategic assets and core IPs in Embracer while improving profitability and free cash flow. The deal also allows the online multiplayer game Fellowship, developed by a talented external team in Stockholm, to find a great home within Coffee Stain Group. I would like to thank the teams at Arc and Cryptic for their hard work over the past four years and wish them all the best as we are confident they will thrive and develop in the years ahead.”
The finalization of the new transaction is pending regulator approvals and is expected to close in the near future.
