Embracer Group to split into three separate companies
Swedish firm Embracer Group has announced plans to split into three different entities, after months of layoffs and studio closures.
The details:
According to a new press release, Embracer will be split into three companies: Asmodee, Coffee Stain & Friends, and Middle-earth Enterprises & Friends, each of which will be listed separately on Nasdaq Stockholm. Embracer CEO Lars Wingefors states that the decision will allow the companies to operate independently and approach their respective goals in different ways.
Asmodee will continue to publish board games and trading cards and now consists of 23 studios. Embracer has also entered into a new financing agreement worth €900 million through Asmodee, which will be used to repay its debts.
Coffee Stain & Friends will focus on indie and free-to-play games, with the company divided into two divisions: premium and free-to-play. Coffee Stain, THQ Nordic, Tarsier Studios, Tuxedo Labs, Ghost Ship Games, and more developers will make up the premium side.
Middle-earth Enterprises & Friends will, unsurprisingly, own the Lord of the Rings IP, as well as Tomb Raider, Metro, Dead Island, and Kingdom Come. Middle-earth Enterprises' studios include Crystal Dynamics, Eidos Montreal, Dambuster Studios, Flying Wild Hog, Tripwire Interactive, Warhorse Studios, 4A Games, and Vertigo Games.
Embracer's recently concluded restructuring plan has resulted in thousands of job cuts since July 2023, the closure of studios such as Volition and Free Radical, and the cancellation of several unannounced projects. It also recently sold Saber Interactive and Gearbox to private investors and Take-Two, respectively.
More gaming news:
Rabbit & Bear Studios, the developer of Eiyuden Chronicle, has confirmed that it intends to follow through on its sequel plans despite the death of the series' creator earlier this year.
Prison Architect 2 has been delayed again, just weeks before its release.
