Sophie Blake
In a significant move to streamline operations and bolster financial health, Embracer Group has agreed to sell its mobile gaming subsidiary, Easybrain, to Miniclip for $1.2 billion (approximately SEK 12.9 billion). The deal is structured as a full cash acquisition and will see Miniclip acquire 100% of Easybrain. Embracer’s decision to divest Easybrain, a leader in ad-driven puzzle games, underscores the shifting dynamics of the mobile gaming market and Embracer’s aim to strategically align resources for future growth. The transaction, which is expected to close in early 2025, reflects a calculated step by Embracer to reduce debt and strengthen its core assets.
Embracer’s co-founder and CEO, Lars Wingefors, highlighted the financial and strategic motivations behind the sale: “This transaction transforms Embracer’s financial position and puts us in a stronger position to drive value. Easybrain has contributed significantly to our group, but as its market evolves, Miniclip’s expertise in ad-driven mobile gaming offers Easybrain the best path forward.” The divestiture is part of a broader restructuring strategy for Embracer, following other high-profile sales and studio closures that helped redefine its portfolio.
For Miniclip, acquiring Easybrain aligns with its mission to reach a broad audience through engaging and accessible games. Miniclip’s CEO, Saad Choudri, expressed enthusiasm about the acquisition, emphasizing that Easybrain’s flagship puzzle titles, including Sudoku.com, will deepen Miniclip’s footprint in the mobile gaming industry. “We are delighted to welcome Easybrain to Miniclip,” Choudri said. “Easybrain’s success in building loyal communities within the puzzle gaming space aligns perfectly with our vision to engage diverse audiences.” The partnership with Easybrain is expected to enhance Miniclip’s portfolio with popular franchises and further its reach in the ad-driven gaming sector.
Easybrain’s CEO, Oleg Grushevich, sees the sale as a strategic opportunity. Reflecting on Embracer’s role in the company’s growth, he noted, “Embracer has been a wonderful home, allowing us to grow while preserving our distinct approach. Joining forces with Miniclip opens a new chapter, and we look forward to leveraging new strengths to create enriching experiences for our players.” This acquisition marks a new era for Easybrain, as the company will now benefit from Miniclip’s extensive experience in user acquisition and audience engagement in the ad-driven mobile gaming space.
The sale of Easybrain significantly impacts Embracer’s balance sheet, transforming a net debt position of SEK 13.2 billion to a projected SEK 0.5 billion, excluding certain ringfenced debt. The expected proceeds, after transaction costs, are estimated at SEK 12.7 billion. The deal is set to close pending regulatory approvals in early 2025. In the lead-up to the transaction, Embracer has relied on advisors from Aream & Co., Covington & Burling LLP, and EY, while Miniclip has enlisted Merrill Lynch International, Latham & Watkins, and KPMG for advisory support.
In 2021, Embracer acquired Easybrain in a transaction valued at $765 million, making Easybrain’s founders significant shareholders within the Swedish company, ranking as its third-largest shareholder.
Earlier this year, Embracer completed a comprehensive nine-month restructuring plan, which resulted in the division of the group into three distinct entities. This restructuring also included the sale of Gearbox Entertainment and Saber Interactive, the shutdown of three studios, and job reductions impacting over 1,400 employees.
In 2021, Embracer acquired Easybrain in a transaction valued at $765 million, making Easybrain’s founders significant shareholders within the Swedish company, ranking as its third-largest shareholder.
Earlier this year, Embracer completed a comprehensive nine-month restructuring plan, which resulted in the division of the group into three distinct entities. This restructuring also included the sale of Gearbox Entertainment and Saber Interactive, the shutdown of three studios, and job reductions impacting over 1,400 employees.
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