Sega can buy Relic for $15 million or so, ‘they can afford it’ – Pachter

Wednesday, 23rd January 2013 14:58 GMT By Dave Cook

Sega was rumoured this morning to be eyeing up a purchase of Relic Entertainment in the run up to today’s THQ auction. Wedbush Morgan analyst Michael Pachter has told VG247 that the deal makes sense and that Sega could probably net the studio for ‘very little’, as THQ has no way to pay the Dawn of War developer.

Speaking with VG247 this afternoon, I asked Pachter for his thoughts on Sega’s potential purchase of Relic, to which he replied, “Sega can afford to buy Relic for very little, since in bankruptcy, THQ won’t really be able to continue to pay the people. The studio can probably be kept together if Sega is willing to pay them fair wages, and Sega would essentially buy their work in progress on Warhammer (assuming Sega wants the license), Dawn of War, Company of Heroes, or whatever else they are working on.

“The ‘value’ is in the intellectual property, both work in process and characters, brands and so on. [Dawn of War and Company of Heroes] are probably worth a few million each, so Sega can probably buy Relic for $15 million or so. Yes, they can afford it.”

Pachter added that it appeared as if both Ubisoft and Warner Bros. want Volition Inc. and the Saint’s Row license.

We’ll have more on the auction as it comes.



  1. Maximum Payne

    Is it me or that is little bit low ?

    #1 2 years ago
  2. Edo

    Captain Obvious to the rescue…he also likes to play “hit and miss” games and he’s not very good at that either.

    #2 2 years ago
  3. GrimRita

    Yeah he also predicted 50 million players for SWTOR

    Im sure the man just sticks his finger in the air and pulls numbers from it.

    Relic, is not worth $15m. Yes they may have 2 of the biggest licences on the PC but so does Sega. And with Dawn of War 2 not matching the success of the original, there is no guarantee CoH will do the same, since Relic SERIOUSLY disappointed me with DoW2.

    I just feel sorry for all the talent caught up in the shit and as others have said in a different thread – Sega almost went bust themselves and fired a shit load of people not too long ago.

    Either way, I pray that ubi and EA keep theirs hands off and Sega, who have a good track record on the PC manage to pick up the tab and churn out some quality from Relic

    #3 2 years ago
  4. Hirmetrium

    @Grim: What then, do you think they are worth? Because I’d say $15mil is a steal for one of the most anticipated and highly desired RTS franchises in recent times, not to mention the fact that Dawn of War 2 sold very well too (even if you didn’t like it yourself). Talent from Relic often moves onto big places (Activision Blizzard, Bungie, Valve, etc).

    And do not forget Universe at War. Total War does not help me forgive that travesty.

    #4 2 years ago
  5. DSB

    Grim is spot on.

    Your expenses wouldn’t end at buying the studio, you’d likely to have restructure, maybe hire new talent and/or leadership, and certainly fund a new project.

    After Space Marine and Dawn of War II, I think that’s a pretty good price for Relic. It’s not like they’ve been truly impressive since Company of Heroes.

    @4 Gamer nostalgia doesn’t mean a lot to someone looking to invest. Memories aren’t currency. Dawn of War II (base) sold reasonably well, but the expansions tanked, and they only managed to turn it around when they dropped GFWL before Retribution.

    And let’s not forget that this is the studio that made Space Marine. It was crap.

    #5 2 years ago
  6. VIP0R

    I’d pay $15 million or so for The Outfit 2.

    #6 2 years ago
  7. GrimRita

    @4 Dont get me wrong, I love Relic. Yes DoW2 sold but not on the level on the original because they took out all the elements that made the original outstanding and made a shell of a game, or a CoH clone in a DoW skin.

    The expansions, DLC all bombed and I pray that Relic learnt from this and go back to the original format as that was probably THE best online RTS of all time – apart from Star Wars: Supremacy/Rebellion.

    Universe at War was awesome but that was developed by Petroglyph(published by Sega) – never did an RTS have so many unique playing factions as it did – shame GWFL ensured it would fail but it was alot of fun online but not on the same level as DoW 1.

    And lately, the Total War games have been shit. Shogun 2 was a mess and I think since Empire, CA have lost their way and I pray they go back to the epic scale that made the first one brilliant. Hell, even look how bad Medieval 2 was – with the worst AI in gaming history.

    Sega need to up their game if they do purchase Relic because if you launch a triple A RTS (as they did with Shogun 2) and have many key features BROKEN – Relic would get the blame and go under.

    I would rather Sega pay $1 and put the saved cash toward securing the studios future because Relic need some stability in order to create some magic

    #7 2 years ago
  8. SplatteredHouse

    Vigil may be no more. There are several ominous tweets from their staff appearing. RelicXSEGA official?

    Sucks about Vigil, if that’s the way things have gone. :(

    #8 2 years ago
  9. Gheritt White

    So much wrong in this thread. Hilarious.

    #9 2 years ago
  10. xXNapsterManXx

    Ah pachter I wonder if you have eaten your hat yet, he said on the VGA red carpet “if the walking dead wins game of the year I will eat my hat” from the moment he said that I was routing for the walking dead.

    #10 2 years ago
  11. Phoenixblight


    Well he was wrong Sega paid even more than that.

    #11 2 years ago

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