According to the Associated Press, THQ, a popular video game maker, filed for Chapter 11 bankruptcy earlier this month.
The AP reports that THQ, which made video games for World Wrestling Entertainment (WWE), Nickelodeon, Pixar and DreamWorks Animation, intends to seek a buyer.
The filing includes subsidiaries THQ Digital Studios Phoenix, THQ Wireless, Volition and Vigil Games, but does not include foreign operations, including those in Canada like THQ Montréal and Relic Entertainment, according to the AP.
“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 in a press release. “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.”
According to the AP, THQ says it plans to continue running its business as it moves through the sale, keeping studios open and continuing to develop games. It said it has secured $37.5 million in financing from Wells Fargo and Clearlake to continue to operate.
THQ also said it had a $60 million sale bid for its assets, which include four development studios and games in currently in development, but it is allowing other investors to come forward with potentially higher bids.
Much like a Chapter 11 bankruptcy, Chapter 13 and Chapter 7 bankruptcies can help people stop collections and foreclosures, and restructure debt.
If your financial situation is a problem, contact our Washington DC and Maryland bankruptcy lawyer now for a free consultation.
