EG7 intends to sell Innova subsidiary and relocate Toadman Interactive studio in a pull-out from Russia

    
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Enad Global 7, the Swedish company that readers will recall bought up all of Daybreak Games in 2020, is apparently looking to cut ties with Russia, citing a desire to have “no further exposure to continuing uncertainties in the region” – a reference to Russia’s ongoing aggression against Ukraine – and will be doing so with a sale of its subsidiary Innova and a move of the game studio Toadman Interactive out of the country.

In a press release to its shareholders, EG7 announced its intention to sell Innova in a management buy-out (MBO) for €32M (over $34M USD), though the sale is ultimately subject to approval from a general shareholders’ meeting and approval from Russian authorities. In addition, EG7 will be relocating Toadman Interactive, developers of games like EvilvEvil and Block n’ Load 2, out of Russia and into a new studio somewhere in western or eastern Europe; the move will reportedly delay some of the studio’s ongoing projects.

“We concluded that parting ways with Innova would benefit both parties,” said EG7’s acting CEO Ji Ham in a statement. “This decision has minimal impact on our group companies outside of Russia / CIS. Our utmost priority is to ensure that the Innova and Toadman teams have our full support while we help them transition through this process.”

The Innova subsidiary is a publisher for a variety of MMOs for the CIS region, including titles such as Lineage II, Blade & Soul, Crowfall, and Black Desert. The structuring of the company’s sale as an MBO is described by EG7 as a way to “ensure the continuance of its ongoing business operations under the strong leadership of the existing management team and secure the talented team of local employees.”

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