Square Enix has shared some of its rationale behind the decision to sell Crystal Dynamics, Eidos-Montréal and Square Enix Montréal to Embracer Group, saying the transaction will allow the company to invest more in blockchain, AI and the cloud.
Square Enix disclosed the purpose of the transaction in executing the Share Transfer Agreement with Amendment to Subsidiary Document and said it would assist the company in doing so "Adapting to the ongoing changes in the global business environment by establishing a more efficient allocation of resources that will increase shareholder value by accelerating growth in the company’s core digital entertainment businesses."
"In addition, the transaction enables the creation of new companies by driving investments in areas such as blockchain, AI and cloud." said Square Enix.
This news follows Square Enix President Yosuke Matsuda’s New Year’s Day 2022 letter, which focused on the company’s growing focus on NFTs, blockchain games, and the Metaverse. Matsuda also reiterated his interest in blockchain gaming in April 2022.
The transaction, which will give Embracer Group access to intellectual property such as Tomb Raider, Deus Ex, Legacy of Kain, Thief and more, will "also offer the opportunity to better align our publishing function abroad
with our organization in Tokyo."
Next up is Square Enix "The development function includes the studios in Japan, Square Enix External Studios and Square Enix Collective. The company’s overseas studios will continue to release franchises such as Just Cause, Outriders and Life Is Strange."
The deal between Embracer Group and Square Enix is expected to close in Embracer’s second quarter of fiscal 2022/2023. The two companies also agreed on a purchase price of US$300 million.
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Adam Bankhurst is a news writer for IGN. You can follow him on Twitter @AdamBankhurst and further Pull out.
https://www.ign.com/articles/square-enix-says-embracer-acquisitions-allow-it-to-invest-more-in-the-blockchain-ai-and-the-cloud Square Enix says Embracer acquisitions allow it to invest more in blockchain, AI, and the cloud