The large gaming publisher Embracer Group announced April 22 that they are splitting into three separately-listed companies to focus on the core strengths of each following a lengthy restructuring initiative.

The move comes after a series of layoffs, studio sales, and shutdowns over the past two years within the company’s subsidiaries, which includes Take-Two Interactive, Saber Interactive, and Free Radical Design. The company made a large-scale restructuring effort after a $2 billion deal backed by Saudi Arabia fell through, with hundreds losing their jobs in the process.

Among the new companies formed are Asmodee Group, Coffee Stain & Friends, and Middle-earth Enterprises & Friends, all of which specialize in different areas.

Asmodee focuses on board games, trading cards, and digital board games with 23 in-house studios and over 300 IPs. Coffee Stain & Friends will develop indie and AA games for PC, console, and mobile with a mix of premium and free-to-play titles. Middle-earth Enterprises & Friends will specialize in AAA development for console and PC with key IPs like Lord of the Rings, Tomb Raider, and Kingdom Come Deliverance.

According to the press release, the Board of Directors felt that the current structure of the Embracer Group was not optimal for creating long-term value. Embracer CEO Lars Wingefors remains the largest shareholder, and will continue to be an active member of all three companies.

“This move has been made with the intention to unleash the full potential of each team and provide them with their own leadership and strategic direction,” Wingefors said to IGN. “This is the start of a new chapter, a chapter that I intend to remain part of as an active, committed, and supportive shareholder of all three new entities, with an evergreen horizon.”

“This move towards three independent companies reinforces Embracer’s vision of backing entrepreneurs and creators with a long-term mindset, allowing them to continue to deliver unforgettable experiences for gamers and fans across the globe,” he said.