Embracer is Being Renamed to Fellowship Entertainment, Coffee Stain Group is Being Spun Off

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In a recent announcement, Embracer has decided to separate Coffee Stain Group (previously known as Coffee Stain & Friends) into an independent group of developers and publishers. The remaining portion of Embracer, formerly known as Middle-Earth & Friends, will be renamed to Fellowship Entertainment. This restructuring will result in shares of Coffee Stain Group being given out to Embracer’s existing shareholders, with these shares subsequently listed on the Nasdaq First North Premier Growth Market in Stockholm. The stocks for Fellowship Entertainment will continue to be traded on Nasdaq Stockholm.

250 employees from Coffee Stain Group’s development and publishing sectors will be transitioning with the company. The expanded group will encompass Coffee Stain, Tuxedo Labs, Ghost Ship, as well as Scandinavian studios belonging to Amplifier Game Investment. Notable intellectual properties within the Coffee Stain Group include “Deep Rock Galactic”, “Goat Simulator”, “Satisfactory”, “Teardown”, “Valheim”, and “Welcome to Bloxburg”.

Instead of solely concentrating on a single aspect, Fellowship Entertainment aims to evolve into an umbrella organization capable of managing game creation and distribution, along with the development of original intellectual properties (IPs) that can be expanded across various mediums such as comics, merchandise, and film. Under its wing are several companies like 4A Games, Aspyr Media, CrazyLabs, Crystal Dynamics, Dambuster Studios, Dark Horse, Deca Games, Eidos-Montréal, Flying Wild Hog, Gunfire Games, Limited Run Games, Middle-earth Enterprises, Milestone, PLAION, Tarsier Studios, THQ Nordic, Tripwire Interactive, Vertigo Games, and Warhorse Studios. This group encompasses approximately 40 different entities within Fellowship Entertainment.

Anton Westbergh, the founder and CEO of Coffee Stain, expressed his immense pride in all that’s been accomplished within Embracer, acknowledging the valuable support and trust received throughout the years. As they prepare to stand alone as a publicly-traded company, he shared a mix of excitement and a bit of apprehension—in a positive sense.

The games industry is tougher than before, yet it offers greater rewards when handled correctly. We think this decision empowers us to manage the challenges independently on our own conditions. This allows us to dedicate ourselves further to our strengths – nurturing our developers, connecting with our communities, and creating an even more vibrant future for Coffee Stain.

Lars Wingefors, co-founder and CEO of Embracer Group, commended the skills, intellectual properties, and communities within Coffee Stain Studios. The move to separate the company appears to have been influenced by Westbergh’s strategies and leadership, aiming for the long-term vitality and prosperity of the business.

As a fervent admirer, I can’t help but acknowledge the remarkable skillset, intellectual properties, and vibrant communities that Coffee Stain Group possesses. It’s no secret that this combination has been the key ingredient to their prosperity, as aptly stated by Wingefors. I wholeheartedly trust in Anton’s vision and his strategic leadership, and I see an enticing long-term potential in fostering connections with fellow independent game developers and talents who share our passion and values.

Though the action appears beneficial for most parties, its ultimate impact on game developers across various studios and their respective projects remains uncertain. We’ll have to wait and see.

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2025-05-22 18:11