Embracer Group has announced that it is moving ahead with its plans of splitting up into two publicly listed companies, dubbed Fellowship Entertainment and Embracer Group. The process is slated to take some time, with Fellowship Entertainment getting listed on Nasdaq Stockholm in 2027. In its announcement, the board of directors of Embracer Group said that the goal was to ensure that it could fully utilize the IPs owned by the company through more focused management.
Fellowship Entertainment’s focus will be around game development, publishing, and licensing, and it will keep the rights to the Tomb Raider and The Lord of the Rings IPs, alongside many others. As of March 31st, 2026, the company has a total headcount of 2,169. Embracer, on the other hand, will focus on streamlining its structure with an emphasis on tighter cost control and disciplined capital allocations.
“This separation is about sharper management focus and clearer accountability, giving each business the structure and leadership to realize more of its full potential,” said chair of Embracer Group’s board, Lars Wingefors, in a statement. “I am truly excited about Fellowship Entertainment’s prospects to organically grow substantially over the coming years. I am equally optimistic about the potential of the deep portfolio and selective M&A opportunities for a more focused Embracer. As Chair and major shareholder, I am strongly committed to support the preparations to drive value in two listed companies over the long-term.”
Embracer Group CEO Phil Rogers reiterated the goal to streamline the company’s management capabilities while also making sure that the two distinct businesses are successful with a structure supporting transparency and execution.
“Our direction is clear: to build a more disciplined group with two distinct businesses, each with a mandate and a structure that supports transparency and execution,” he said. “I am confident that this is the right path forward to deliver long-term value for our fans, our businesses and IPs, our people, and our shareholders.”
As a result of this move, 4A Games, Crystal Dynamics, Dambuster Studios, Dark Horse Media, Eidos-Montréal, Fishlabs, Flying Wild Hog Studios, Gunfire Games, Middle-earth Enterprises, Redoctane Games, and Warhorse Studios will all fall under the Fellowship Entertainment umbrella. The company will also create a new publishing group that consolidates the talents of PLAION and its other parts. The IPs it owns include Darksiders, Dead Island, Kingdom Come: Deliverance, Metro, Remnant, The Hobbit, The Lord of the Rings, and Tomb Raider, among others.
Embracer Group, on the other hand, will have Aspyr, Beamdog, CrazyLabs, Deca, Demiurge, DPI Merchandising, Limited Run Games, Milestone, PLAION Partners, PLAION Pictures, THQ Nordic (including 35 studios and subsidiaries), Tripwire, and Vertigo Games under it.
As for the leadership structure, Embracer Group will largely hang on to its current executive suite, with Rogers and COO Lee Guinchard remaining in their roles. Once Fellowship Entertainment is spun off, the two will take on the CEO and COO in the new company, alongside Müge Bouillon coming on as CFO. Embracer Group itself will be getting a new CEO and CFO, and the recruitment process has been kicked off.
