Home ›› 14 Jun 2023 ›› World Biz
Swedish gaming group Embracer, which owns the Borderlands franchise and the Tomb Raider licence, announced Tuesday a vast restructuring programme that includes the closing of studios and cancelling game projects.
“During the past years, Embracer invested significantly both in acquisitions and into a strategy of accelerated organic growth,” Embracer CEO Lars Wingefors said in a statement.
“The programme presented today will transform us from our current heavy-investment mode to a highly cash-flow generative business this year,” Wingefors added.
Embracer has been on an acquisition spree for several years and recently announced the development of a huge Lord of the Rings game with Amazon.
However, its shares fell by over 44 per cent in late May following the announcement that a “major strategic partnership”, valued at $2 billion, had fallen through, and that the company was lowering its projections for the 2023/2024 financial year.
