#1EMBRACER+ GROUP New acquisitions August 18, 2021#2We are delighted to present 3 new acquisitions and welcome over 220 new colleagues! demiurge S BETTE SPL EMBRACER+ GROUP 2#3Embracer Group acquires Demiurge Studios SABER INTERACTIVE demiurge TM Today's speaker: Matt Karch CEO and co-founder Saber Interactive EMBRACER+ GROUP#4Top team with traditions that adds to Embracer's development capabilities GROWING STUDIO WITH RICH HERITAGE 2002 ounded KURT REINER CEO QUALITY MANAGEMENT €68 Employees BART SIMON President HQ Based outside of Boston an important games development hub Cambridge, MA USA TOM LIN Co-founder, Creative Director PROVEN TEAM WITH DEEP EXPERIENCE PATRICE CONNELLY Director of HR WILL JENNINGS Design Director 4 NATHAN SITKOFF Engineering Director EMBRACER+ GROUP 10+ years of game industry experience for over half the staff AAA trusted by marquee franchises JR SURPRENANT Production Director 4#5AAA cross-platform games development and live operations RECENT AND UPCOMING PROJECTS Currently working on two unannounced AAA cross-platform products PC/CONSOLE HERITAGE Selection of work MEDAL OF HONOR ☐☐ MASS EFFECT BROTHERS IN ARMS: GEARS OF WAR ROCK BAND BORDERLANDS GAMES DEVELOPMENT AND PORTFOLIO QUEST MARVEL Publisher NZ Full development and live ops, additional features across mobile and PC MOBILE HERITAGE Selection of work MARVEL QUEST ROCKET LEAGUE SIDESWIPE PUZZLE GLORY SEGA HEROES CRAZY TAXI ROCKET LEAGUE SIDESWIPE Publisher EPIC GAMES PsYaNIK Co-development of mobile spin-off KEY REPEAT CUSTOMERS Selection software EPIC GAMES EA HARMONIX SPYJINX Publisher EPIC GAMES Technical development support CROSS PLATFORM 冯 A unity XBOX u UNREAL ENGINE EMBRACER+ GROUP 5#6Deal structure and acquisition rationale ACQUISITION RATIONALE FINANCIALS OVERVIEW $15m Revenue forecast 2021 FTE DEVELOPMENT Potential to scale the team past 350 in 5 years 350+ I 2020 2021 2022 2023 2024 2025 50+ Solid financial development and profitability Highly passionate team with track record of working on AAA titles with leading publishers Exciting pipeline to execute on, with Embracer as a platform to accelerate growth Embracer Group will support Demiurge Studio's growth journey going forward B ■ POST TRANSACTION GROUP STRUCTURE ■ EMBRACER GROUP s BER INTERACTIVE demiurge Demiurge will operate as a subsidiary to Saber Purchase price structure is based on an upfront payment and up-to 5-year earnout components, all paid in cash Management is retained ▪ The parties have agreed not to disclose the terms DEAL TERMS MARVEL MARVEL Embracer Group acquires 100% of the shares EMBRACER+ GROUP 6#7Embracer Group acquires SmartPhone Labs BER INTERACTIVE SPL Today's speaker: Matt Karch CEO and co-founder Saber Interactive EMBRACER+ GROUP 7#8A studio with established relationship with Saber ■ SPL is a software testing and development company for mobile, consoles, VR, PC and servers ■ 2002 Founded Blon HQ, Veliky Novgorod Russia DEAL TERMS Saber acquires 100% of the shares Management is retained in current roles >100 Employees Purchase price is paid in cash 1-year earnout based on operational KPIs Broad development capabilities B (u) SABER INTERACTIVE UNANNOUNCED PROJECT Experience from working with global publishers SABER RITCALLZOMBIES EA REATSHAPERS Games development and portfolio extract ARMORED WARFARE MOBILE SQUARC CNIX my.com MUD RUNNER For the above titles the publisher logo is the IP owner ▶▶Google Play SO Mar ma lade Nintendo SABER BEATSHAPERS SWITCH EMBRACER+ GROUP unity my.com WORLD WAR SABER INTERACTIVE A NUMBER OF WFH TITLES 50 SABER 8#9Embracer Group acquires Fractured Byte SABER INTERACTIVE Fractured Today's speaker: Matt Karch CEO and co-founder Saber Interactive EMBRACER+ GROUP 9#10A talented team that adds to Saber's development capabilities Focused on game development and porting Game development and services 7 ■ 2018 Founded Deal terms Embracer acquires 100% of the shares Management is retained Purchase price consists of cash and shares Earnout consideration based on financial targets during a 6-year period ■ Estonia HQ 50 employees across Ukraine Full cycle development Unreal Engine 3 u Unreal Engine 4 1 SWITCH 0 Game porting Tech stack iOS MA 15- Windows Examples of porting projects BORDERLANDS LEGENDARY COLLECTION INCLUDES 3 EAMES ADD-ON CONTENT BORDERLANDS PRE-SERIEL BURDERLANDS 2 gearbox a SWITCH Android TEEN MARA TONY HAWK'S PRO SKATER IZ cl PS4 ORIGINAL 2 GAMES FULLY REMASTERED V BEST SPORTS ACTIVISION ? Developers consulting Xbox EMBRACER+ GROUP a Switch 10#11Final words and Q&A EMBRACER+ GROUP 11#12EMBRACER+ GROUP 12