Perfect World Entertainment along with Cryptic Studios has been acquired by the Swedish Embracer Group (previously known as Nordic Games).
The $125 deal will be completed in February, and Perfect World Entertainment will become a subsidiary of Embracer Groups’ Gearbox Entertainment. All PWE and Cryptic games will live on under the new banner and the companies will continue to develop games with support from Gearbox.
Upon completion of the transaction, PWE will operate within the Embracer group as a subsidiary of Gearbox Entertainment Company, with a continued focus on publishing and creating games. PWE comprises a team of 237 full time employees, including the team behind the publishing unit. Through the acquisition of PWE, Gearbox Entertainment will onboard PWE Publishing and Cryptic Studios, which will both remain independent within Gearbox Entertainment. This acquisition will strengthen Gearbox Entertainment’s Publishing division.
According to the press release, PWE has one release on the horizon in 2022, with 5 more within the next two years.
Cryptic Studios currently operates three longstanding MMOs (Neverwinter, Star Trek Online and Champions Online) with a shared life span of 25+ years. These titles generate significant profits, and Embracer expects the live Cryptic titles will continue to be strong and steady for the upcoming years. PWE Publishing has a compelling slate of upcoming games while continuing to evaluate new opportunities. Of the existing slate, PWE’s next launch is planned in 2022 with five additional releases by 2024. In calendar year 2021 the companies are estimated to generate net sales of approximately SEK 700 million. This includes some revenues from discontinued products at Cryptic.