Still from “Lord of the Rings: The Fellowship of the Ring.”
New Line Cinema
Swedish firm Embracer Group mentioned Thursday that it agreed to purchase Middle-earth Enterprises, which owns worldwide rights to “The Lord of the Rings” and “The Hobbit” movie trilogies in addition to other properties associated to the books by J.R.R. Tolkien.
Embracer is shopping for Middle-earth Enterprises from the Saul Zaentz Company, which has owned the movie rights to the fantasy works since 1976.
The corporations didn’t disclose the monetary phrases of the deal, which supplies Embracer the rights to motion pictures, video video games, board video games, merchandising, theme parks and stage productions relating to Tolkien’s works.
“I am truly excited to have The Lord of the Rings and The Hobbit, one of the world’s most epic fantasy franchises join the Embracer family,” mentioned Lars Wingefors, the firm’s founder and CEO, in a launch. “Going forward, we also look forward to collaborating with both existing and new external licensees of our increasingly stronger IP portfolio.”
The buy was an element of six acquisitions by Embracer Group totaling 6 billion Swedish krona (about $572.8 million).
Embracer Group is a video games and entertainment-focused firm with a market capitalization of 87.5 billion Swedish krona (about $8.36 billion). The firm mentioned it plans to use the Tolkien intellectual property with Asmodee, its board and card recreation subsidiary that has licensed Tolkien IP in the previous, and Freemode, its new leisure and online game group.
The firm mentioned it’ll discover “additional movies based on iconic characters such as Gandalf, Aragorn, Gollum, Galadriel, Eowyn and other characters from the literary works of J.R.R. Tolkien.”
The buy comes forward of the premiere of Amazon’s “Rings of Power” sequence on Sept. 2. Amazon spent practically $250 million to license the rights in 2017. An animated film from Warner Brothers is predicted in 2024, and a cell recreation from Electronic Arts can be in the works.
Representatives from Embracer Group didn’t instantly reply to CNBC’s request for remark.