• Increase management focus to capture the full potential of the valuable or strategic assets and IPs within the group. 
• Enable Fellowship Entertainment to accelerate the formation of a group of world-class studios with leading publishing and licensing capabilities. 
• Allow Embracer more flexibility to pursue accretive but opportunistic bolt-on M&A, especially to strengthen its already successful and sizable niches in for example, mobile, distribution, retro, films, remakes and remasters.

• Fellowship Entertainment aims to become an IP-led entertainment company built for growth and enduring momentum, with some of the world's most beloved franchises at its centre as the stewards of The Lord of the Rings and Tomb Raider intellectual properties. As a standalone company, Fellowship Entertainment will have a better structure to maximize the potential of its highly strategic franchises. 
• Embracer will be a natural home for proven entrepreneurs, supported by a more efficient structure, with enhanced governance, tighter cost control, and disciplined capital allocation. This will be combined with optionality from structural initiatives, including a continued focus on profitability and M&A, to drive shareholder value. 

• At the time of spin-off, Embracer Group’s current CEO Phil Rogers and COO Lee Guinchard will transition to become the CEO and COO of Fellowship Entertainment, along with CFO Müge Bouillon. 
• A recruitment process for a CEO and CFO for Embracer has been initiated, with a plan to have appointments in place well ahead of the spin-off of Fellowship Entertainment.

No

• You could today buy Embracer Group shares and post separation sell the shares in the companies you don’t want to own. 
• After the separate listings, it will be possible to acquire shares in the respective companies at Nasdaq Stockholm.

Subject to approval of the general meeting of Embracer Group and certain other customary conditions, it is anticipated that a listing of Fellowship Entertainment can be completed in calendar year 2027.

• The Board of Directors proposes that shares in Fellowship Entertainment will be distributed to the shareholders of Embracer Group and listed on Nasdaq Stockholm.  
• The intention of the Board of Directors of Embracer Group is to carry out the spin off by way of a dividend distribution of all shares, a so-called Lex ASEA dividend. Such dividend is subject to shareholders’ approval at a general meeting in Embracer Group. The current dual-share class of A and B-shares will be replicated into the new public entity.

If you have additional questions, please contact Oscar Erixon, Head of Investor Relations at Embracer Group.