Following a series of video game company acquisitions made by Saudi Arabia’s Public Investment Fund recently, the state-run wealth fund has now spent $1.05 billion to purchase an 8.1% stake in Embracer Group.

That stake will make the PIF’s Savvy Gaming Group the second-largest shareholder in Embracer, according to Bloomberg. This follows recent investments by the PIF and its subsidiaries in gaming companies such as Capcom (5%), SNK (96%), and Nintendo (5%).

Embracer itself is one of Europe’s largest and fastest-growing video game companies. The Swedish firm was itself in the news at the start of May after acquiring several big-name IPs and associated studios from Square Enix, including Crystal Dynamics and the Tomb Raider series, plus Square Enix Montreal and Eidos-Montreal along with Deus Ex, Thief, Legacy of Kain and others. Embracer also picked up Borderlands developer Gearbox back in February 2021 and the publisher owns a host of other groups including THQ Nordic, Koch Media, Saber Interactive, DECA Games, and Dark Horse.

Lars Wingefors, Embracer Group’s founder and group CEO. had this to say of the stock acquisition in a notice shared on the company’s website:

“Our relationship with Savvy Gaming Group will enable us to set up a regional hub in Saudi Arabia, from which we will be able to make investments across the MENA region, either organically, via partnerships, joint ventures, or via acquisitions of companies led by strong entrepreneurs.”

The PIF’s investments have drawn scrutiny and criticism from other nations in recent years due to Saudi Arabia’s human rights record, which is tracked and reported on by organisations such as Amnesty.

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