Embracer Group acquires Borderlands maker Gearbox Entertainment
Borderlands, Brothers in Arms and Duke Nukem developer Gearbox Entertainment is being acquired by the Embracer Group for up to $1.3 billion. The company is adding Gearbox’s team of 550 in Frisco, Texas, and Quebec City, Canada, to its roster, becoming Embracer Group’s seventh operating group.
Embracer Group is a Karlstad, Sweden-based parent company of game businesses including THQ Nordic GmbH, Koch Media GmbH/Deep Silver, Saber Interactive and Deca Games. Embracer Group has 57 internal game development studios in 40 countries, with a catalogue of over 200 owned franchises, such as Saints Row, Dead Island, Darksiders, Metro, World War Z and many others.
Gearbox is mostly known for its blockbuster franchise Borderlands, which has sold more than 60 million copies to date. Gearbox as a publisher has released titles such as We Happy Few and Godfall.
Randy Pitchford, founder of Gearbox, will keep his position as the head of the studio. He said in a press release: “The feeling at Gearbox is that we are just getting started and this transaction is not merely a stimulant for the talent of our employee-owned company, but a propellant for the exciting future we have planned.”
In 2019, Pitchford was involved in a legal battle with his former lawyer, Wade Callender, being accused of harassment, taking a secret bonus of $12 million and possession of “underage pornography”. The court exonerated the Gearbox CEO of all allegations against him and the lawsuit was dismissed.