THQ
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Documents about THQ
Embracer Group Acquires DIGIC Pictures
Embracer Group has finalized the acquisition of DIGIC Pictures, a Budapest-based animation studio specializing in high-end 3D cinematics and commercial trailers for the global video game and film industries.
- Embracer Group has acquired Budapest-based animation studio DIGIC Pictures, integrating the 400-employee firm into its Saber Interactive business unit.
- DIGIC Pictures reported net sales of SEK 240 million and an operational EBIT of SEK 50 million for the 2021 calendar year.
- The studio is projected to contribute between SEK 60 million and SEK 80 million in annual operational EBIT through the 2023/2024 period.
Embracer Group M&A Update: February 3, 2021
The February 2021 Embracer Group update outlines the strategic acquisition of Easybrain Group Limited, The Gearbox Entertainment Company, and Aspyr Media.
- Embracer Group acquired Easybrain Group, The Gearbox Entertainment Company, and Aspyr Media for an aggregate day-one purchase price of approximately SEK 9.3 billion.
- The acquisitions include a performance-based earn-out consideration of up to SEK 12.5 billion, contingent on the entities achieving over SEK 23 billion in accumulated operational EBIT over seven years.
- The expansion increases Embracer’s portfolio to 244 intellectual properties and grows its total workforce to approximately 5,719 developers.
Embracer Group Acquires Pow Wow Entertainment
Embracer Group has finalized the acquisition of Vienna-based Pow Wow Entertainment, integrating the studio into its THQ Nordic subsidiary.
- Embracer Group has acquired Vienna-based Pow Wow Entertainment, integrating the 20-person studio into its THQ Nordic subsidiary.
- Pow Wow Entertainment will retain operational independence and creative autonomy while continuing to self-publish its titles.
- The studio’s current development pipeline includes an original roguelike multiplayer platformer and a project utilizing an existing THQ Nordic intellectual property.
Embracer Group M&A Update: August 13, 2020
Embracer Group’s August 2020 update outlines a strategic expansion through aggressive mergers and acquisitions, formalizing its transition into a diversified conglomerate comprising six distinct operating groups.
- Embracer Group has transitioned into a conglomerate structure organized into six operating groups: THQ Nordic, Koch Media, Coffee Stain, Amplifier Game Invest, Saber Interactive, and DECA.
- The company employs a decentralized governance model that allows original founders and management teams to retain operational autonomy while utilizing centralized capital and strategic support.
- As of August 2020, the portfolio includes 43 internal studios, 55 external studios, and 190 intellectual properties.
Annual General Meeting FY 18/19: Presentation
The 2019 Annual General Meeting presentation outlines the strategic and financial trajectory of Embracer Group, emphasizing a dual-growth model driven by aggressive acquisitions and organic development.
- Embracer Group achieved massive financial scaling in FY 18/19, with net sales increasing 1,033% to 5,754 million SEK and operational EBIT rising 344% to 897 million SEK.
- The company operates a decentralized 'buy-to-build' model across three autonomous sub-groups—THQ Nordic, Deep Silver, and Coffee Stain—supported by 2,208 total employees and contractors.
- As of mid-2019, the group held 2,011 million SEK in net cash, providing the liquidity necessary to sustain its aggressive acquisition strategy for dormant intellectual properties.
THQ Nordic: Embracer Group Investor Presentation
Embracer Group operates as a decentralized parent organization overseeing a vast portfolio of gaming studios, including THQ Nordic, Koch Media, and Warhorse Studios.
- Embracer Group operates as a decentralized parent organization managing a portfolio that includes THQ Nordic, Koch Media, and Warhorse Studios.
- The company maintains a global footprint with operations spanning more than 40 countries across Europe, North America, Africa, and Asia.
- Corporate strategy is defined by four strategic pillars: Business Sense, Solid Work, Great People, and Greener Planet.
THQ Nordic AB (publ) Acquires Gunfire Games: Investor Presentation
THQ Nordic AB has finalized the acquisition of Gunfire Games, an Austin-based studio recognized for its expertise in action-adventure titles and virtual reality development.
- THQ Nordic AB has acquired Austin-based Gunfire Games, marking the company’s first owned development footprint in the United States.
- The acquisition is projected to be recouped within three to four years through immediate cash flow from existing IP, including 'Remnant: From the Ashes', and reduced royalty and development costs.
- Gunfire Games will retain operational independence and creative freedom, allowing the studio to continue external collaborations while contributing to THQ Nordic’s internal development pipeline.
THQ Nordic AB Acquires Goodbye Kansas Game Invest: Investor Presentation
THQ Nordic AB expanded its footprint in the Nordic gaming ecosystem through the acquisition of Goodbye Kansas Game Invest, a Stockholm-based platform specializing in early-stage investments.
- THQ Nordic AB acquired Goodbye Kansas Game Invest for 42 million SEK to expand its Nordic development footprint and internal capabilities.
- The acquisition grants THQ Nordic equity stakes ranging from 21% to 50% in five game studios: Framebunker, Neon Giant, Palindrome Interactive, Kavalri, and Fall Damage.
- The deal includes the acquisition of royalty rights for the action RPG title Biomutant.
THQ Nordic AB Acquires Milestone s.r.l.: Investor Presentation
THQ Nordic AB finalized the acquisition of the Italian game developer Milestone s.r.l. on August 14, 2019, to bolster its position in the global racing simulation market.
- THQ Nordic acquired Italian developer Milestone s.r.l. on August 14, 2019, for a total upfront consideration of EUR 55.8 million, comprised of EUR 44.3 million in cash and EUR 11.5 million in B-shares.
- The acquisition includes an earn-out provision tied to Milestone’s adjusted EBIT performance through the end of fiscal year 2022.
- Milestone brings a portfolio of established racing franchises including MotoGP, MXGP, Monster Energy Supercross, and RIDE, supported by a pipeline of ten titles scheduled for release between 2020 and 2022.
THQ Nordic AB (publ) Acquires 18POINT2: Investor Presentation
THQ Nordic AB expanded its global footprint in February 2019 through the acquisition of 18POINT2, a prominent Australian publishing and distribution firm.
- THQ Nordic acquired Australian publisher 18POINT2 in February 2019 for a total consideration of 2.4 million EUR, split equally between cash and shares, plus a potential earn-out of 0.4 million EUR.
- 18POINT2 reported 15.6 million EUR in operating income and 2.3 million EUR in EBIT for 2018, establishing itself as the eighth-largest physical software distributor in Australia as of mid-2018.
- The acquisition provides THQ Nordic with a direct operational base and retail distribution network in Australia and New Zealand, a region experiencing a 35% compound annual growth rate in console installations.
THQ Nordic AB Acquires Warhorse Studios: Investor Presentation
THQ Nordic AB finalized the acquisition of Warhorse Studios on February 13, 2019, to integrate the developer’s award-winning intellectual property and creative talent into its global portfolio.
- THQ Nordic AB acquired Warhorse Studios on February 13, 2019, for a total purchase price of EUR 42.8 million, consisting of EUR 40.4 million in cash and EUR 2.4 million in shares.
- Warhorse Studios reported strong 2018 financial performance with EUR 42.0 million in net revenue and an adjusted EBIT of EUR 27.8 million, reflecting a 61 percent EBIT margin.
- The acquisition was driven by the commercial success of Kingdom Come: Deliverance, which sold over 2 million units across PC, PlayStation 4, and Xbox One within its first year.
THQ Nordic AB Acquires Bugbear Entertainment: Investor Presentation
THQ Nordic AB expanded its global development footprint in November 2018 by acquiring a 90% stake in Helsinki-based Bugbear Entertainment, with an option to purchase the remaining 10% in the future.
- THQ Nordic acquired a 90% stake in Helsinki-based Bugbear Entertainment in November 2018, with an option to purchase the remaining 10%.
- The acquisition grants THQ Nordic full ownership of Bugbear’s intellectual property, specifically the Wreckfest and Stuntfest franchises.
- Wreckfest, which sold over 400,000 units on Steam following its June 2018 release, serves as the primary driver for the acquisition due to its strong commercial performance.