[Update] Majesco Entertainment Still Quiet, But It Didn't Acquire An Insurance Company

Update: We're issuing a retraction on this story. The press release we read directly referenced Majesco Entertainment's stock ticker (COOL), but that was an error.

There is another Majesco, a maker of insurance software, which completed a merger with Cover-All. All of the information in the original story regarding Majesco Entertainment's most recent status remains accurate, and we are leaving this story up so those referencing it see the correction. Should Majesco Entertainment update us on its current status, we'll report that in a new story.

We apologize for the error. Thanks to Anthony Grosso for directing us to the correct information.

Original Story:

Cooking Mama publisher Majesco has acquired Cover-All, a New Jersey-based insurance company. The publisher has recently been through challenging financial straits, escaping another NASDAQ delisting warning.

According to a press release issued by Majesco and Cover-All, outstanding Cover-All shares will be converted to .21641 Majesco shares. Fractional shares will be rounded up to the next whole share.

Additionally, all outstanding, unexercised Cover-All options will be converted to Majesco options. The deal closed today, and Majesco will be changing its ticker from COOL to MJCO on or about Monday, June 29.

Majesco’s financial report issued in November 2014 painted a bleak picture of the company’s future in the video game publishing business. At that time, the company indicated that it had doubts about its ability to remain in business and had no significant new games for release in 2015.

Shortly thereafter, the company shuttered Midnight City, its indie publishing arm. Majesco’s website has not carried any new information since October of last year.

We’ve reached out to the company with a request for comment and update on the status of its publishing business. We’ll share any information we learn.

[Source: Business Wire via Seeking Alpha]

Our Take
It seems like Majesco is working to reorient its business. I don’t expect there will be any sudden game announcements after this merger, though this could simply be an effort to diversify and provide a steady source of revenue outside the gaming business. This may be an effort to get the company back on its feet, though given the radio silence since last year, its impossible to know without a statement.

Update: Given the new, accurate information about this story, we're still interested in what Majesco Entertainment is up to, but it's clear it isn't getting into the insurance business.