Swedish Embracer Group received $648 million after issuing new shares

Embracer Group has completed the issue of 35.6 million new shares. The issue of securities brought SEK 5.75 billion ($648 million) to the holding. The company is going to spend the proceeds on the purchase of new game studios.

According to GamesIndustry, the Canadian pension fund acquired the most new shares. The size of its investments is SEK 2.1 billion ($237 million).

It should be noted that along with the issue of new securities, Embracer also sold 9 million existing shares and earned another SEK 5.78 million ($652 thousand).

Also, as part of the issue, the investment fund Lars Wingefors AB, which belongs to the CEO of Embrace, bought out the shares of the majority of the founders of the game publisher in the amount of SEK 5.8 billion ($654 million) with its shares. Thanks to castling, they ceased to be the direct owners of Embrace, but received shares in Lars Wingefors AB.

The purpose of the sale of new and old shares is to diversify the shareholder base and expand capital. Embracer plans to use the money raised for further acquisitions of gaming companies.

This is not the first time in 2020 that Embracer has raised additional funds. In April, the company also received $164 million for purchases of new studios and publishers. At the moment, about 30 gaming companies are under the control of the Swedes. Embracer made its last deal less than a month ago, buying the Dutch developer of VR games Vertigo Games.

Also on the topic:

• Embracer Group Holding acquired VR developer Vertigo Games for €50 millionEmbracer Group Annual Report: Operating profit of $120 million and purchase of new studios
• Swedish holding Embracer Group acquired eight companies at once
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