Square Enix Sells Tomb Raider, Deus Ex Studios And IP Rights To Embracer Group

Embracer Group has announced that it has acquired Crystal Dynamics, Eidos-Montreal, Square Enix Montreal, and a catalog of IPs from Square Enix. The $300 million deal will see IPs such as Tomb Raider, Deus Ex, Thief, Legacy of Kain and more than 50 back-catalog games added to Embracer's portfolio.

"We are thrilled to welcome these studios into the Embracer Group. We recognize the fantastic IP, world class creative talent, and track record of excellence that have been demonstrated time and again over the past decades. It has been a great pleasure meeting the leadership teams and discussing future plans for how they can realize their ambitions and become a great part of Embracer," said Lars Wingefors, co-founder and Group CEO of Embracer Group, in a press statement.

The deal will see Square Enix offload all of its Western game development studios to Embracer Group, which includes games like the upcoming Tomb Raider that is currently in development at Crystal Dynamics. The purchase is expected to be completed during the second quarter of Embracer's financial year, which is July-September 2022.

In a press statement, Square Enix said that the deal "enables the launch of new businesses by moving forward with investments in fields including blockchain, AI, and the cloud."

"Going forward, the company's development function will comprise its studios in Japan, Square Enix External Studios, and Square Enix Collective. The Company's overseas studios will continue to publish franchises such as Just Cause, Outriders, and Life is Strange."

Embracer has made some massive acquisitions over the last couple of years, as it purchased Gearbox Entertainment for $1.3 billion last year, 3D Realms and several smaller studios for $313 million in August, Dark Horse media for its transmedia potential in December, and Perfect World Entertainment.