THQ has filed for a Chapter 11 bankruptcy and entered into an agreement with private investment firm Clearlake Capital Group to sell off its assets, the troubled publisher announced last night.
The publisher, which has faced major financial difficulties in recent months, now seeks to sell off all four of its internal studios and games currently in development, including Homefront 2, Saints Row 4, and unannounced projects from Turtle Rock, Relic and Patrice Desilets' Montreal studio.
THQ's agreement with Clearlake guarantees that the company's assets will be sold, but leaves options open for a rival bidder to swoop in if it were to offer more than Clearlake's ~$60m (~£37m) bid.
The publisher hopes to complete the sale within the next 30 days. "Consumers and retailers should see no changes while the company completes a sale," it pledged, and reassured staff that it "does not intend to reduce its workforce as a result of the filing, and employees will continue to work their usual schedules and receive normal compensation and benefits, pending customary Court approval."
Titles due for release in early 2013, including Company of Heroes 2, Metro: Last Light and South Park: The Stick of Truth are also still "on track", THQ president Jason Rubin confirmed, describing the agreement with Clearlake as a "major step in securing financial future".
"We have incredible, creative talent here at THQ," commented Rubin, who took over as THQ president in May. "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."
Brian Farrell, chairman and CEO of THQ added: "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.
"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."
Source: THQ Press Release | Reuters