THQ Files For Chapter 11 Bankruptcy
We’ve known for a while that THQ has been in trouble, but there was hope that the big response from their recent Humble Bundle offering might drive some life back into the company (even if the profits went to charity). However, it doesn’t look like that was the case, as the company has officially filed for bankruptcy.
The company has announced that they have entered into an Asset Purchase Agreement with Affiliates of Clearlake Capital Group. The company will take over all of THQ’s assets, including all four of their studios. In addition, THQ has filed for Chapter 11 bankruptcy.
Don’t worry, though, business will continue as normal during the entire process, the company promised. There is no massive layoff pending, nor any game cancellations. The new company is aiming to take over all existing contracts, so as to keep everything running smoothly.
“The sale and filing are necessary next steps to complete THQ’s transformation and position the company for the future, as we remain confident in our existing pipeline of games, the strength of our studios and THQ’s deep bench of talent,” said Brian Farrell, Chairman and CEO of THQ. “We are grateful to our outstanding team of employees, partners and suppliers who have worked with us through this transition. We are pleased to have attracted a strong financial partner for our business, and we hope to complete the sale swiftly to make the process as seamless as possible.”
So what does this mean for future THQ titles? We’re not quite sure yet. As we said above, the changes shouldn’t affect anything currently in the pipe. However, whenever a developer changes ownership, there are always bumps, or changes in direction. We’ll just have to wait and see.
