Embracer CEO exits amid major restructuring

Lars Wingefors, the founder of Swedish gaming giant Embracer Group, is transitioning from his CEO role. Current deputy CEO Phil Rogers will take over leadership starting August 2025.

Embracer, owner of major franchises including The Lord of the Rings, Dead Island, Metro and Tomb Raider, has navigated significant changes recently. Following high-profile acquisitions like Middle-earth Enterprises in 2022 and Borderlands creator Gearbox in 2021, the company faced challenges after a collapsed $2 billion deal with Savzyy Games Group. This led to restructuring measures including the closure of Saints Row developer Volition Games, selling Gearbox, separating from Space Marine 2 developer Saber Interactive, and significant workforce reductions. Wingefors acknowledged the difficult period, describing criticism of these decisions as "painful."

In April 2024, Embracer revealed plans to reorganize into three independent entities: Asmodee Group, Coffee Stain & Friends, and Middle-earth Enterprises & Friends, aiming to optimize each division's potential. This restructuring resulted in 1,387 job cuts and cancellation of 29 unannounced projects. The company recently initiated spinning off Coffee Stain Group and rebranded its Lord of the Rings division as Fellowship Entertainment.

Wingefors will remain involved with Embracer as executive chair of the board, succeeding Kicki Wallje-Lund who becomes deputy chair. He will also serve as director of the Coffee Stain Group.

"I'm grateful for my journey as Embracer's CEO and proud of what our talented teams have accomplished," Wingefors stated. "While challenging at times, we've created remarkable experiences for players worldwide. This transition allows me to focus on strategic growth areas including M&A and capital allocation."

He expressed confidence in incoming CEO Phil Rogers and commitment to their continued collaboration. Despite recent challenges, Wingefors believes Embracer's strongest achievements still lie ahead.

With over 450 owned franchises, 73 game studios, and 7,000 employees across subsidiaries including THQ Nordic, Plaion, Coffee Stain, Crystal Dynamics-Eidos, Dark Horse and Freemode, Embracer remains one of gaming's most significant players.