Lars Wingefors, the founder of Swedish gaming giant Embracer, is stepping down from his position as CEO. Deputy CEO Phil Rogers will take over the role starting in August 2025.
Embracer, the company behind major franchises like The Lord of the Rings, Dead Island, Metro, and Tomb Raider, is certainly familiar with major shifts. Following prominent acquisitions such as Middle-earth Enterprises and Borderlands creator Gearbox in 2022 and 2021, respectively, Embracer faced significant instability when a planned $2 billion partnership with Savzy Games Group collapsed. Since then, the company has closed Saints Row developer Volition Games, sold Gearbox, parted ways with Space Marine 2 developer Saber Interactive, and laid off thousands of workers. Wingefors described the criticism and backlash to these missteps as "painful."
In April 2024, Embracer revealed its strategy to divide into three separate entities: Asmodee Group, Coffee Stain & Friends, and Middle-earth Enterprises & Friends, aiming to "unlock the full potential of each team and provide them with their own leadership and strategic direction." The reorganization and studio closures resulted in 1,387 employees losing their jobs and the cancellation of 29 unannounced projects. The company also recently announced its plan to spin off the Coffee Stain Group and renamed its The Lord of the Rings division to Fellowship Entertainment.
Wingefors is not leaving Embracer completely, however. He has been appointed executive chair of the board, while the current chair, Kicki Wallje-Lund, will move to the role of deputy chair. Wingefors will also become a director of the aforementioned Coffee Stain Group.
"As we begin this new chapter, I am grateful for the years and the lessons I learned as CEO of Embracer," Wingefors stated (via GamesIndustry.biz). "While the journey hasn't always been straightforward, I am immensely proud of what our talented teams have achieved, creating unforgettable experiences for gamers worldwide.
"This new phase will allow me to concentrate on strategic initiatives, [mergers and acquisitions], and capital allocation, securing Embracer's continued expansion and prosperity. I am more confident than ever that our greatest successes are still ahead. Having worked closely with Phil for several years, I have great faith in his capabilities. I look forward to our continued close partnership as we work to strengthen the business and drive value in the years to come."
Looking ahead, Embracer holds rights to more than 450 franchises and maintains a long portfolio of subsidiaries, including THQ Nordic, Plaion, Coffee Stain, Amplifier Game Invest, DECA Games, Dark Horse, Freemode, and Crystal Dynamics – Eidos. The company operates 73 internal game development studios and employs over 7,000 people.
