Fenwick Represents Embracer Group in its Pending Sale of Gearbox Entertainment to Take-Two Interactive Software

Fenwick is representing Embracer Group, a global games publishing company based in Sweden, in its $460 million sale of The Gearbox Entertainment Company to Take-Two Interactive Software, Inc. (NASDAQ: TTWO), one of the largest interactive entertainment companies in the world.

For Embracer, the announcement marks the result of a structured divestment process. Embracer plans on using the proceeds from the transaction to reduce net debt, earnout payment obligations and capex. As part of the transaction, Embracer will retain its interest in Gearbox Publishing San Francisco, which will be renamed at a later date, the publishing rights to the Remnant franchise, Hyper Light Breaker and other unannounced game releases. The acquisition is expected to close in Embracer’s Q1 FY 24/25 (ending June 2024) and is subject to customary closing conditions, including applicable regulatory approvals. More information can be obtained from Embracer Group’s announcement.

The Fenwick transaction team includes corporate partners Mark Stevens and Scott Behar and associates Zachary Portnoy, Brendan Montgomery, Zoe Zhang, Christina Scully and Siobhan McGurk; technology transactions partner Joseph Schenck, associates Julia Arruda Rosenthal, Peter Hart, Ali Kongats, Brandon Cheung, Monica Kim and Alberto Tohme, and law clerks Rob Ferrari and Taylor Muentener; litigation partners Eric Ball, Michael Sacksteder and Jim Trainor; executive compensation and employee benefits partner Marshall Mort and associates Jonathan Stephenson, Cynthia Yuan and Melita Chan; antitrust and competition partners Mark Ostrau and Steve Albertson and associate Kaylynn Moss; tax partner William Skinner and associate Alexis Maguina; and privacy and cybersecurity counsel Ana Razmazma and Melanie Jolson and associate Mudasar Khan.