Hug group announced plans to split into three separate companies following a major restructuring. This change will also affect Czech studio Warhorsewhich is preparing a medieval role-playing game this year. Kingdom Come: Deliverance 2.
The restructuring of Embracer Group took nine months. It was at that time 1300 people were laid off (8% of the workforce), almost 30 games canceled and Volition (Saints Row) and Free Radical Design (Timesplitters) studios ceased to exist. Additionally, Gearbox Software (Borderlands) was sold to Take-Two Interactive for $460 million, and Saber Interactive went independent with Fractured Byte, Mad Head Games, Slipgate, New World Interactive, DIGIC, Nimble Giant, and Sandbox Strategies.
Let us remind you that Embracer Group’s financial problems began in 2023 after the failure of a $2 billion deal. Savvy Games Group, owned by the government of Saudi Arabia, was supposed to invest in the company. Since then, large-scale restructuring has begun. The goal was to reduce debt and make Embracer a viable company. It seems to have succeeded. To avoid similar problems in the future, Embracer Group intends to split into Asmodee, Coffee Stain & Friends and Middle-earth Enterprises & Friends.
This is the most interesting company for us players. Enterprises and Friends of Middle-earth. The focus will be on ambitious AAA titles for PC and consoles, including rights to The Lord of the Rings, Tomb Raider, Kingdom Come, Dead Island and Killing Floor. Crystal Dynamics, Dambuster Studios, Eidos Montreal, Flying Wild Hog, Tripwire, Warhorse Studios and 4A Games (Metro) will be included, as well as PLAION, Freemode, Dark Horse and others.
Coffee stain and friends will focus on the indie scene, AA games, live service and free-to-play games for PC, consoles and mobile devices. They also oversee the Deep Rock Galactic, Goat Simulator, Wreckfest, Teardown, Valheim and Satisfactory brands. Premium content includes Coffee Stain, Ghost Ship, Tarsier, Tuxedo Labs, THQ Nordic (a remake of Gothic) and Amplifier Game Invest.
Asmodeus in turn, will be a publisher and distributor of board games for its 23 studios and more than three hundred brands. These include popular board games Ticket to Ride, 7 Wonders, Azul, CATAN, Dobble and Exploding Kittens. Asmodee also produces a wide range of licensed board games based on Lord of the Rings, Marvel, Game of Thrones, Netflix, LEGO and Star Wars.
“The three businesses will be separate, publicly traded companies,” the press release said. This should allow each of them to better focus on their strengths and develop the potential of each team. Individual research leaders will also be closer to management.
Source :Indian TV
