Embracer Group Acquires Rare Earth Games

Embracer Group, through its subsidiary Amplifier, has finalized the acquisition of Vienna-based developer Rare Earth Games. This strategic move integrates a team of eleven industry veterans into the Embracer ecosystem to bolster its portfolio of creative talent. The acquisition is designed to provide the studio with the financial stability and operational support necessary to develop its current passion project, an online multiplayer co-op game featuring roguelike elements and team-based strategy.

The financial structure of the deal includes an initial payment of €0.3 million, split between cash and Embracer B shares. To ensure long-term alignment and performance, the agreement incorporates two performance-based earnouts totaling €3 million in Embracer B shares, contingent upon the studio achieving specific net contribution milestones over five and ten-year periods. This incentive structure reflects a commitment to organic growth, with plans to expand the studio’s headcount from eleven to approximately 20 employees within the 2021 calendar year.

Rare Earth Games is led by a management team with extensive experience at major industry entities, including Rockstar Games and Deep Silver. The studio’s founders bring a history of developing premium and free-to-play titles across PC, console, and mobile platforms. By leveraging this deep institutional knowledge, the studio aims to focus on creating unique intellectual property characterized by high replayability and complex decision-making mechanics. This acquisition underscores a broader industry trend of large holding companies securing experienced, independent development teams to drive long-term content production.