According to the news release on THQ’s website, THQ is filing for Chapter 11 Bankruptcy in the United States. THQ (the debtor) has agreed to sell “substantially all” of their assets to Clearlake Capital Group, L.P., the stalking horse bidder of this transaction. Despite the filing, THQ is committed to releasing the titles currently in development including Metro: Last Light and Company of Heroes 2.
The purchase agreement has allowed THQ to acquire $37.5 million for financing (subject to the Bankruptcy Court’s approval) to continue game development.
“All of the company’s studios remain open, and all development teams continue. The company remains confident in its existing pipeline of games. THQ maintains relationships with some of the top independent development studios around the globe. As part of the sale, the company is seeking approval to assume the contracts of these studios, and Clearlake will assume these contracts.”
Perhaps this is why THQ has been so generous lately, giving away Metro 2033 to fans who liked them on Facebook last week. The company has done right by gamers and is looking to increase awareness of its games while at the same time ensuring that current games in development make it to release.
Jason Rubin, president of THQ, had the following to say about the situation:
“We have incredible, creative talent here at THQ. We look forward to partnering with experienced investors for a new start as we will continue to use our intellectual property assets to develop high-quality core games, create new franchise titles, and drive demand through both traditional and digital channels.”
The story that gets buried here a bit is that THQ is also looking to absorb some independent game studios, transferring those to Clearlake once everything is in order. THQ may be winded but it doesn’t look like it will be down and out anytime soon. There’s just some shuffling in the monetary responsibilities. THQ will also be delisted from the NASDAQ stock market.
We’ll be following this story as it develops.