Embracer, the gaming and entertainment business which owns the commercial rights to J.R.R. Tolkien’s works, is splitting into two new businesses, each of which will be rebranded.
The first, Coffee Stain Group, will consist of more than 250 game developers and publishers focused on community driven experiences and will include Coffee Stain, Ghost Ship and Tuxedo Labs.
IPs being transferred as part of the split include Deep Rock Galactic, Goat Simulator, Satisfactory, Teardown, Valheim, and Welcome to Bloxburg.
Shares in Coffee Stain will be distributed to existing Embracer shareholders and are intended to be listed on the Nasdaq First North Premier Growth Market in Stockholm
The remainder of the business will be renamed Fellowship Entertainment and will be the custodian of more than 300 IPs including The Hobbit, The Lord of the Rings and Tomb Raider.
It will also own more than 40 brands and gaming studios including, Aspyr Media, Crystal Dynamics, Dark Horse, Deca Games, Eidos-Montréal, Middle-earth Enterprises, PLAION, THQ Nordic, Tripwire Interactive, and Vertigo Games.
Post-split, Fellowship Entertainment’s goal will be to transform into “one powerhouse group” with game development and publishing at its core, complemented with transmedia capabilities within IP licensing, comics, merchandise, film and distribution.