The lights are on
Update #2: THQ has just sent out a press release confirming and further clarifying the sale process going forward.
The court says that Clearlake Capital's bid for all of THQ will stand as the opening bid in an auction process for the entire company. Outside companies will be able to bid on individual THQ assets ONLY IF [emphasis ours] the value generated by the sale of these individual assets was more than a bid for all of THQ by any single company.
Bids will be received by January 22, 2013 (9:00 AM ET), and the auction itself will occur that day at 3:00 PM. A hearing on the sale will be held the next morning at 9:30 AM, and the closing will be on January 24.
Finally, the court approved "an amended financial agreement" to help THQ before the auction.
Update #1: According to multiple reports, Clearlake Capital has agreed to auction off the THQ assets piecemeal.
The auction will take place on January 22, and the finance blog Distressed Debt Investing tweeted that one of those individual suitors may be Electronic Arts. Which property do you think EA is interested in acquring?
THQ, the publisher behind games like Saint's Row: The Third and Darksiders II, has been in financial trouble lately, and things just got slightly worse.
Businessweek is reporting that the judge looking over THQ's bankruptcy case has sided with the US trustee and creditors who objected to THQ's quick bankruptcy sale. The original plan, which you can read about here, was to quickly sell the company for at least $60 million to Clearlake Capital Group LP with a very short window available for any other interested investors to make bids. Those other possible investors objected to the small window claiming that it wasn't enough time.
With the judge's ruling, the sale process has been extended by approximately three weeks. In the mean time, THQ is still hard at work making games while investors make bids.
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As much as it would benefit THQ to have their entire production purchased at once, I can see how other companies could want to pick them apart for individual studios. Despite the situation, they do have some talented people.
poor THQ. hope they can still release company of heroes 2
All I want is Darksiders 3 to come out and a new Saints Row
Thats crazy how these businesses go dwn..especially wen they make such great games..i wish we could go bak to the n64 days to help them out..thats why now that i see this happening to all these companies if i really want a game..whether its older or new, I buy it brand new to make sure the company gets the money.
Has anyone else noticed a problem when trying to download Voltron on Xbox? First, it says that the game costs -1 MM points, then it says on the next screen that ”you do not have enough points” because the cost has changed to 4294967295 MS points. It cost 800 points initially. Odd, yes? Is it possibly connected to this mess THQ is in?
This actually isn't a bad thing. This is a good thing. Typically when a company goes bankrupt the amount it's sold for is slightly under the amount it would take to pay off everyone who has a monetary stake. By extending this timeframe it gives time for investors to bid on the company which can potentially raise the price and thus more creditors get paid back.
This sucks big time.
I wonder what will be kept and what will be trashed.
Awww, man... I bet EA wants Volition/Saints Row or Vigil Games/Darksiders. It was nice knowing them :(
How does this potentially affect the Stick of Truth?
Yikes, this keeps getting worse and worse.
here's hoping the new Metro and Homefront get to see the light of day
Which property can EA screw up the fastest? South Park?
Hm, anybody know if Bethesda is going to this auction? Because I really wouldn't mind them buying up THQ's assets.
Lol, imagine the entourage at EA ginning evilly after taking over THQ.
Really, could it get worse for THQ?. . . Time will tell.