#1EMBRACER GROUP + Embracer Group acquires Eidos, Crystal Dynamics, and Square Enix Montréal 02 May 2022#2Embracer Acquires Eidos, Crystal Dynamics, and Square Enix Montréal Today's Presenters Lars Wingefors CEO, Founder EMBRACER+ GROUP Phil Rogers America & Europe, CEO Square Enix 7 Ficht Scot Amos Studio Head CRYSTAL DYNAMICS David Anfossi Studio Head eidos montréal Patrick Naud Studio Head MONTREAL SQUARE ENIX 2#3High-Level Transaction Summary Acquisition Rationale Two of the most reputable AAA studios in Crystal Dynamics and Eidos Montréal • Iconic IPs including Tomb Raider, Deus Ex, Thief and Legacy of Kain • Talented employees with decades of AAA experience Exciting pipeline of new installments and original IPS Significant organic growth opportunities and synergies within the Embracer Group ● ● ● ● Transaction Details Total purchase price of USD $300 million paid at closing Crystal Dynamics (HQ: San Mateo, CA, US); Eidos Montréal (Montréal, CA); and Square Enix Montréal (Montréal, CA) In total, ~1,100 FTEs across 3 studios and 8 locations Portfolio of AAA IPs and over 50 back-catalogue games Expected to close 2Q FY 22/23 (July-September 2022) ● Financial Outlook for Acquired Companies Extensive due diligence performed to fully understand the acquired businesses Breakeven or smaller Operational EBIT contribution for FY 22/23 and FY 23/24 with some upside potential • When AAA pipeline matures, we believe the companies will generate in average at least SEK 500 million in Operational EBIT per year with notable upside potential Financing & Current Trading New secured LT debt funding commitment of SEK 4.0 billion and extended one existing loan of SEK 6.0 billion With the inclusion of the new facility, over SEK 10.0 billion in available cash and credit facilities by today's date Under the new terms, no ST debt on the balance sheet. No expiry before 30 June 2023 Reiterate Group operational EBIT forecast for FY21/22, FY22/23, and FY23/24 3#4CRYSTAL eidoş A DYNAMICS montréal □ MONTREAL SQUARE ENIX#5CRYSTAL DYNAMICS ACHIEVE THE EXTRAORDINARY Founded 1992, acquired as part of Eidos by Square Enix Holdings in 2009 A developer family who refuse to lose, committed to crafting the narrative- focused, AAA quality action-adventure games of our lives for passionate players San Mateo, CA 167 Employees Proprietary and Commercial Tech Cinematics / Full MoCap Studio Bellevue, WA 75 Employees Award Winning Experiences 30+ years experience 11 years at CD Campaigns and Open-Worlds SCOT AMOS NOAH HUGHES Head of Studio Creative Director 28+ years experience 26 years at CD Austin, TX 31 Employees WINNER OF OVER 70 "BEST OF" AWARDS DALLAS DICKINSON Franchise GM 22+ years experience 3+ years at CD RISE OF TOMB RAIDER -21 YEAR CELEBRATION THE "RISE OF THE TOMB RAIDER IS AN ADRENALINE RUSH" -GAME INFORMER Project Director OVER 100 BEST OF MORGAN GRAY CHAD QUEEN DIONNE HUBBARD 25+ years experience 15 years at CD BEST OF E3 2012 COO 22+ years experience 3 years at CD Head of People Experience 13+ years experience at CD years LEGACY OF KAIN DEFIANCE- TOMB RAIDER RISE TOMB RAIDER OF THE 5 Lnet.co#6Tomb Raider: Legend 1996 Franchise Founded LARA GROET TOMB RAIDER LEGEND 2006 TOMB RAIDER Storied, Globally Renowned Franchise With Leading Action-RPG Titles Tomb Raider: Anniversary MIMA RAIDER ANNIVERSARY 2007 88M¹ Lifetime AAA Units Sold Tomb Raider: Underworld TOMB RAIDER UNDERWORLD 2008 38M Of Those From Reboot Trilogy² 2010 JARA CROFT GENDER 53M+ Paid Mobile Downloads Lara Croft and the Guardian of Light Tomb Raider TOMB RAIDER INMU SQUARC CHEX 2013 2014 LARA CROFT TEMPLE OF OSIRIS 81% m Average 4.6 A Average Rating4 Lara Croft and the Temple of Osiris Rise of the Tomb Raider RISE OF THE TOMB RAIDER Lara Croft: Relic Run (Free-to-Play) 3 ¹Total Tomb Raider units sold since 1996. 2 Reboot Trilogy defined as Tomb Raider (2013), Rise of the Tomb Raider, and Shadow of the Tomb Raider. ³ As of Dec-2021. 4 Metacritic and Apple App Store as of Jan-2022 2015 Shadow of the Tomb Raider HADOWO TOMB RAIDER GO Lara Croft: GO (Premium Paid) 2018 6#7eidos montréal CRAFTING EMOTIONS ● Founded 2007, acquired as part of Eidos by Square Enix Holdings in 2009 Memorable AAA experiences focused on unique stories and strong characters in the action-adventure & RPG genres Montréal¹ 442 employees Completely autonomous studio 4 core creative teams Accessibility Analytics Cinematics DAVID ANFOSSI Head of Studio (Montréal) 26 years experience Developer Tech / QA External Development Sherbrooke 34 employees User Research ANDREANE MEUNIER CTO 23 years experience 1 year at EM Partner with universities on research projects in a co-dev capacity Al / Machine Learning Online Infrastructure JULIEN BOUVRAIS Shanghai 5 employees Multi-Node Game Engine Head of Studio (Sherbrooke) 24 years experience 15 years at EM 1 Eidos Montréal employee count excludes QA and IT personnel. 14 years at EM gamesindustry.biz Best Places to Work 2021 Canada RODNEY LELU Marketing Director 19 years experience 15 years at EM EDGE Studio of the Year 2011 PATRICE BAIG Finance Director 19 years experience 5 years at EM ThirF DEUS EX MANKIND DIVIDE D™ SHA W 2 DEUS EX HUMAN REVOLUTION™ OF THE TOMB RAIDER 7#8DEUS EX Critically Acclaimed Open-Ended Action-RPG Franchise Set in a Cyberpunk Dystopian Future 2M 4.4 Paid Mobile Downloads² A Average Rating³ Narrative-driven philosophy Play-your-own-way sandbox in dense hubs Accessible, empowering gameplay centered on uncovering of vast global conspiracies Choice and consequence at the core of the franchise Unique art touch that is not afraid to break expectations 2000 Franchise Founded DEUS EX HUMAN REVOLUTION eldoe MULIARE N 2011 12M+ Lifetime AAA Units Sold¹ Deus Ex: Human Revolution DEUS EX HUMAN REVOLUTION" ¹ Lifetime units for Human Revolution, Mankind Divided and Directors Cut. 2 As of Dec-2021. ³ Metacritic and Apple App Store as of Jan-2022 DIRECTOR'S CUT 2013 83% Average³ Deus Ex: Human Revolution Directors Cut Deus Ex: The Fall DEUS EX (Premium-Paid) THE FALL DEUS EX MANKINU DIVIDED 2016 GO Deus Ex: Mankind Divided Deus Ex: GO (Premium-Paid) 8#90 MONTREAL SQUARE ENIX To empower our collective and individual creativity to imagine, craft, and operate memorable mobile games that players will want to return to for years! Founded in 2011 Entrepreneurship Player-Centric PATRICK NAUD Head of Studio Montréal 144 employees 24+ years experience 10 years at SEM Collaboration London 16 employees Inclusion Innovation MATHIEU PIAU Marketing Director 23+ years experience 6 years at SEM gamesindustry.biz Best Places to Work 2021 Canada LARA CROFT Apple Design Award NATHALIE GAUTHIER Accle De Award Dvd De Executive Producer 20+ years experience 4 years at SEM GO IVAN FERNANDEZ CTO 17+ years experience 3 years at SEM HITMAN GO LARA CROFT CO GO DEUS EX GO HITMAN SNIPER 9 TIE#10Transaction Overview The total purchase price amounts to USD $300 million on a cash and debt free basis, to be paid in full at closing Acquisition includes development studios Crystal Dynamics (HQ: San Mateo, CA, US); Eidos Montréal (Montréal, CA); and Square Enix Montréal (Montréal, CA). In total, represents ~1,100 employees across 3 studios and 8 global locations Acquisition includes catalogue of iconic IPs including Tomb Raider, Deus Ex, Thief, Legacy of Kain and others More than 50 back-catalogue games The transaction is subject to various regulatory and other external approvals and expected to close during the second quarter of Embracer's financial year (July-September 2022) 10#11Strategic Acquistion Rationale CRYSTAL eidos DYNAMICS montréal Two of the most reputable AAA studios in the industry Embracer Group Post Transaction Standalone Drivers Catalogue of iconic IPs TOMB RAIDER DEUS EX THIRF LEGACY OF KAIN Pipeline New installments of beloved franchises and original IPs, including a new Tomb Raider game ~1,100 Talented employees with proven track record over decades Financial Talent Significant financial contribution once new slate of AAA titles releases 14,000+ employees, 10,000+ engaged game developers & 124 internal studios Our intention is to invest in the acquired studios and IPs. We believe there is a tremendous opportunity to build on the success in AAA game development as part of the Embracer Group Organically grow the studios to maximize the commercial opportunities ● ● ● Embracer Drivers Synergies across our ecosystem Transmedia opportunities Benefits of scale in AAA segment Development resource and IP leverage ● ● Rich portfolio of IP beloved by fans Embracer operating model and ownership Platform and other partnership opportunities US will be our #1 country by number of game developers and Canada will be #2 Pipeline of 230+ games with more than 30 AAA titles 11#12Financial Outlook For The Acquired Companies ● Financial Plan Embracer has conducted extensive commercial due diligence both with external and internal teams to fully understand the acquired businesses Strong back-catalogue of over 50 games and exciting AAA pipeline of games We firmly believe that the studios will excel under Embracer's operating model Near Term Outlook • Base case implies that the combined acquired companies will be breakeven or have a smaller Operational EBIT contribution to the upcoming two financial years • Financial performance driven mainly by sales of the back- catalogue titles ● This could change positively if the company decides to enter deeper strategic relationship with one or more platforms Long Term Outlook When the AAA product pipeline matures in the years thereafter, Embracer expects the acquired companies to generate on average at least SEK 500 million in operational EBIT per year with notable upside potential Further details around financials will be communicated at a later stage post-closing 12#13Financing and Current Trading Update Embracer has secured additional long-term debt funding commitments of SEK 4.0 billion and extended one existing loan of SEK 6.0 billion with our Nordic relationship banks Nordea, SEB, and Swedbank The additional bank funding commitment will finance our current M&A pipeline, including today's transaction With the inclusion of the new facility, we estimate to have more than SEK 10.0 billion in available cash and credit facilities by today's date We estimate current average net interest cost across the group is expected to be approximately 1.0% including the new facility Under the new terms, Embracer does not hold any short-term debt on the balance sheet. We do not have any debt that expires before 30 June 2023 Embracer expects strong growth in free cash flow during FY22/23 and the years beyond. We remain committed to delivering on our financial leverage target. If net debt temporarily exceeds 1.0x net debt to operational EBIT on a forward 12 months basis, our intent is to return to below 1.0x net debt to operational EBIT over the medium term Current trading: The company today reiterates its current forecast of operational EBIT for FY21/22, FY22/23, and FY23/24. 13#14Q&A EMBRACER+ GROUP#15EMBRACER GROUP +