Atari Parent Company Also Filing For Bankruptcy
The legendary Pong creator has filed for bankruptcy protection in both France and the US.
Published on Jan 22, 2013
Atari has filed for bankruptcy in two countries, not just America.
Atari Inc., the Pong creator’s US branch, filed for Chapter 11 bankruptcy protection on Monday in order to split from ‘debt-laden parent company’ Atari S.A (formerly Infogrammes) based in France.
Now, it has been revealed that French parent Atari S.A. has also run into financial troubles, filing under Book 6 of France’s commercial code.
Atari’s French operations were asked to repay $28million by March by creditors BlueBay, a backer which owns 29% of the company.
In a statement, Jim Wilson, chief executive of both Atari Inc and S.A. said: “"In light of the current situation with BlueBay, we have decided to take what we think is the best decision to protect the company and its shareholders.
"Through these ongoing procedures, and especially the auction process in the US, we will seek to maximize the proceeds in the best interest of the company and all of its shareholders."