Lars Wingefors, the founder of Swedish gaming firm Embracer, will be stepping down from his role as CEO. Deputy CEO Phil Rogers is set to take over the position beginning in August 2025.

Embracer, the company behind renowned franchises such as The Lord of the Rings, Dead Island, Metro, and Tomb Raider, has experienced significant transformation. Following major acquisitions like Middle-earth Enterprises and Gearbox, the studio behind Borderlands in 2022 and 2021 respectively, the company faced instability after a planned $2 billion partnership with Savey Games Group collapsed. Subsequently, Embracer closed Volition Games, the developer of Saints Row, divested Gearbox, parted ways with Saber Interactive, the developer of Space Marine 2, and implemented thousands of job cuts. Wingefors described the criticism and backlash over these decisions as "deeply painful."

In April 2024, Embracer revealed its intention to separate into three distinct entities: Asmodee Group, Coffee Stain & Friends, and Middle-earth Enterprises & Friends, aiming to “unlock the full potential of each team under dedicated leadership and strategic guidance.” This restructuring led to 1,387 employees being laid off and the cancellation of 29 unannounced projects. The company also announced its plan to spin off the Coffee Stain Group and rebranded its The Lord of the Rings division as Fellowship Entertainment.

Wingefors will not be departing Embracer completely; he has been named executive chair of the board, while the current chair, Kicki Wallje-Lund, will transition to deputy chair. Additionally, Wingefors is slated to become a director of the newly formed Coffee Stain Group.

"As we enter this new chapter, I am grateful for my time and the lessons learned as CEO of Embracer," Wingefors stated in a press release (via GamesIndustry.biz). "While our journey has had its challenges, I take immense pride in what our talented teams have accomplished, delivering exceptional gaming experiences to players worldwide.

"This new role will allow me to concentrate on strategic ventures, mergers and acquisitions, and capital management, securing Embracer's ongoing expansion and prosperity. I am more confident than ever that our greatest successes lie ahead. Having collaborated closely with Phil in recent years, I have full faith in his capabilities. I eagerly anticipate our continued partnership to further enhance the business and generate value in the years to come."

Looking ahead, Embracer holds rights to more than 450 franchises and manages a broad 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.