Embracer Group has announced that it is splitting into three separate, publicly listed games and entertainment companies as part of what the Swedish video game and media holding company says is a transformative step for value creation. They include “Coffee Stain & Friends” and “Middle-earth Enterprises & Friends,” the latter of which will not only serve as a center for Lord of the Rings games, but also critically acclaimed studios that include Crystal Dynamics and Eidos-Montréal.
The new companies comprise:
- Asmodee
- “A global leading tabletop games publisher and distributor with an extensive studio network and IP catalogue.”
- Coffee Stain & Friends
- “A diverse gaming entity with a dual focus on indie and A/AA premium and free-to-play games for PC/console and mobile, with a high degree of recurring revenues.”
- Middle-earth Enterprises & Friends
- “A creative powerhouse in AAA game development and publishing for PC and console, as well as the stewards of The Lord of the Rings and Tomb Raider intellectual properties, among many others.”
Embracer on why it’s splitting:
…it is the assessment of the Board of Directors that the current Group structure does not create optimal conditions for future value creation both for Embracer Group’s shareholders and other stakeholders. To continue the transformation of Embracer Group into the future for the benefit of all employees, gamers and shareholders, the Board of Directors and the executive management have therefore decided to propose a separation of Embracer Group, creating three separate publicly listed entities: Asmodee, “Coffee Stain & Friends” and “Middle-earth Enterprises & Friends”.