THQ Plans to File for Chapter 11 Bankruptcy Protection

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It's sad that a studio like THQ can't catch a break. The publisher & developer has put out several critically acclaimed titles, one of which even sold rather well; however, their bombs (uDraw Tablet, 2011's heavily-marketed Homefront) have exploded loudly and left them in pretty rough shape. So rough, in fact, that they've announced plans to file for Chapter 11 bankruptcy protection.

In an official statement, they revealed their Chapter 11 plans include restructuring the company and selling their assets to the highest bidder. According to the L.A. Times, investment company Clearlake Capital Group is currently winning the auction with a “stalking horse” bid of $60 million. Once they’ve been purchased, THQ plans to put out the games currently on their slate – Homefront 2, Metro: Last Light and Saints Row 4. Hopefully those earn enough to help them get back on their feet.

THQ actually had one bit of success this fiscal year – the Humble Bundle. It included six games published by the company and brought in approximately $5 million, some of which went to charity. Their stock price swelled a bit after the sales figures were released, but, unfortunately, things didn’t improve much beyond that.

As anyone who follows the video game industry knows, studios close all the time. It’s nice to see that THQ is putting up a fight. I wish them luck!

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