THQ Files For Bankruptcy - Why It's A Good Thing
Clearlake Capital steps in as THQ looks to sell assets, including Volition and Vigil Games
Published on Dec 19, 2012
THQ has filed for Chapter 11 bankruptcy and plans to sell off its assets.
Clearlake Capital has offered to acquire the assets as the 'stalking horse bidder', which means Clearlake will get the first bid on the assets.
In this case, assets are studios and the games they're working on. The studios in question are THQ Digital Studios Phoenix, THQ Wireless, Volition and Vigil Games.
THQ's two studios outside of the US, THQ Montreal and Relic, weren't included in the filings.
This means THQ can focus on the titles such as Company Of Heroes, South Park: Stick Of Truth, Homefront 2 and Metro 2033 while the studios named in the filings can be sold to another publisher, meaning the games they're working on won't be in jeopardy and key staff at those studios are more likely to feel secure in their long-term future.
Jason Rubin, president of THQ, tweeted: "Commitment from Clearlake Capital to buy the business. Major step in resecuring financial future. On track for big releases. Busy schedule ahead. Company Of Heroes, Metro 2033, South Park still on schedule. And yes, Saints Roq sequel, Homefront sequel and other future titles still in works."
It's easy to see the word 'bankruptcy' and automatically think it means the beginning of the end. For THQ, this a necessary step to safeguard their future and from an entirely selfish point of view, as gamers, it means we shouldn't lose out on any of the games that we've been looking forward to which might have been the case had THQ bled out to a slow financial death.
Other companies that have filed for chapter 11 bankruptcy include Enron, Blockbuster, Delta Air Lines, baseball team Chicago Cubs and ice hockey teams Phoenix Coyotes and Pittsburg Penguins.
One question to come out of this news is what will happen to the WWE license - it will presumably be sold as part of THQ's assets but what would be the best home for it?