"The Lord of the Rings" and Tomb Raider Get a "New Home" - Embracer Divides Business
Embracer Group made an unexpected decision - the company is splitting into two public entities and moving its largest franchises into a separate division. The new segment, called Fellowship Entertainment, will include series such as "The Lord of the Rings" and Tomb Raider.
Embracer Group plans to create Fellowship Entertainment in 2027. The new company will be involved in the development, publishing, and licensing of key intellectual properties. These include The Lord of the Rings, Tomb Raider, Darksiders, Dead Island, Kingdom Come: Deliverance, Metro, and Remnant.
The structure will also include studios Crystal Dynamics, Eidos-Montréal, 4A Games, Dambuster Studios, Flying Wild Hog, Gunfire Games, Warhorse Studios, Dark Horse Media, and Middle-earth Enterprises. This emphasizes that the new segment will become home to Embracer's premium brands.
Embracer itself will continue to manage the remaining brands in a more streamlined structure. The portfolio will retain Destroy All Humans!, Gothic, Killing Floor, Kingdom of Amalur, Titan Quest, Wreckfest, Hot Wheels Unleashed, and SpongeBob SquarePants. Also remaining under the group's umbrella will be THQ Nordic, PLAION, Tripwire, Milestone, Aspyr, Limited Run Games, and Vertigo Games.
According to management, the split should simplify management, increase transparency, and give more freedom to both structures. Fellowship Entertainment will focus on developing key franchises, while Embracer will gain flexibility for new deals and investments.
Lars Wingefors called this a "clearer management focus." Phil Rogers, the current head of Embracer Group, will become CEO of Fellowship Entertainment and will lead the new structure, which brings together the company's main brands.
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