Embracer Group continues its ongoing restructuring by announcing Fellowship Entertainment, a separately listed public company on the Stockholm NASDAQ. The move aims to sharpen management focus and accountability while freeing resources for opportunistic acquisitions. Embracer's Chair, Laws Wingefors, stated the separation will allow each business to realize more of its full potential.

Fellowship will house major IPs including Darksiders, Dead Island, Kingdom Come Deliverance, Metro, Remnant, The Lord of the Rings, and Tomb Raider. The new entity will serve as parent to 11 studios including Crystal Dynamics, Eidos-Montréal, Warhorse Studios, and Middle-earth Enterprises, which recently announced two new games in development.

The new company expects to list in 2027 with current Embracer CEO Phil Rogers, COO Lee Guinchard, and CFO Müge Bouillon continuing their roles. Embracer will appoint new leadership before the spin-off while retaining control over THQ Nordic, Aspyr, Beamdog, and other studios. The restructuring follows over two years of layoffs and studio sell-offs at Embracer Group.