Embracer CEO says its principles won’t change following $1 billion Saudi investment
The CEO of Embracer Group has vowed that the company’s principles won’t change following a sizeable investment by Saudi Arabia.
Last week, the country’s Public Investment Fund (PIF) – through its subsidiary, Savvy Gaming Group (SGG) – purchased a $1 billion stake in Embracer Group, acquiring 8.1% of the company’s shares.
The PIF’s video game investments tend to lead to concern among players, because of Saudi Arabia’s longstanding history of human rights abuses.
In particular, crown prince Mohammed bin Salman, who is chair of the PIF, has been accused of ordering the murder of journalist Jamal Khashoggi.
However, in a statement posted on the Embracer website, CEO Lars Wingefors attempted to assuage those concerned by stating that the investment wouldn’t have a negative impact on the company’s work.
“I understand and respect that there are different views on this topic,” Wingefors said. “I don’t claim to have the right answers, but I want it to be clear that this decision was not taken lightly.”
He added: “I want to be clear that Embracer will continue to be operated by me, our operative CEOs and management teams across the entire Group.
“Embracer is built on the principles of freedom, inclusion, humanity and openness. The transaction with SGG will not change this in any way.”
“Embracer is still controlled by the people working in our Group. Together, we control a significant majority of the votes in the company.
“SGG will own slightly more than 5 percent of the votes and 8 percent of the capital and they have invested in Embracer because they support our current vision, strategy, and leadership, not to change it.”
Wingefors also stated that he wouldn’t be against SGG’s CEO Brian Ward (who was previously an exec at Activision)
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