Embracer Group has announced that it plans to spin out Coffee Stain into its own entity by the end of the year, and that the group itself will also be undergoing a name change by that time.
According to a press release on the official Embracer website, Coffee Stain Group will be spun off “into a standalone group of community-driven game developers and publishers” by the end of the 2025 calendar year.
By that same time, Embracer Group will be renamed Fellowship Entertainment, completing the company’s plan to spin itself off into three separate companies, which was originally announced last year.
Coffee Stain CEO Anton Westbergh says the move to become its own entity will give the company “the clarity and control” to navigate a “competitive” industry landscape. He goes on to say the goal is still “supporting our developers, staying close to our communities, and building an even brighter future for Coffee Stain”.
For his part, Embracer CEO Lars Wingefors says Westbergh’s “strategy and leadership” will help Coffee Stain in “attracting and enabling partnerships with like-minded independent game developers and talents”.
As for Embracer itself, despite its new name, Fellowship Entertainment won’t just be stewarding the Lord of the Rings IP (although that’ll certainly be a major part of its mission statement).
The company will take with it other IPs like Kingdom Come: Deliverance, Killing Floor, Tomb Raider, and Dead Island, as well as the Metro series, for which a new game is currently in the works from developer 4A.
Studios under Fellowship Entertainment’s stewardship include the aforementioned 4A Games, as well as porting studio Aspyr, publishers Plaion and THQ Nordic, and Remnant developer Gunfire Games, among many others.
Embracer isn’t technically going away, however; CEO Lars Wingefors will establish a new privately-owned company by the name of Embracer AB, which will hold shares in the three entities spun off from the former Embracer Group (Asmodee, Coffee Stain, and Fellowship).
We’ll have to wait and see what Embracer’s business strategy means for the studios under its wing, but for now, it looks like nothing in the immediate term will be changing. Stay tuned for more.
