The End of THQ

thq_crash

There is no more THQ. The once mighty company has not only fallen from grace, but existence. Below the break is a letter from the now-dead publisher’s employees, and a breakdown of its IPs auction sale.

To All THQ Employees

We now have the answers we’ve been seeking through our financial restructuring and Chapter 11 case. While much will be written, here are the facts of the bids and auction that occurred:

Yesterday morning, we received a competing bid for the operating business, along with Clearlake’s offer, and numerous offers for separate assets. During an auction process that lasted over 22 hours, the final conclusion was that the separate-asset bids would net more than a single buyer for the majority of the company. Shortly, we will, present the results to the U.S. Bankruptcy Court, which must concur with our assessment.

The proposed sales of multiple assets

● Sega agreed to purchase Relic
● Koch Media agreed to purchase Volition and Metro
● Crytek agreed to purchase Homefront
● Take 2 agreed purchase Evolve
● Ubisoft agreed to purchase Montreal and South Park

We expect these sales to close this week.

Some assets, including our publishing businesses and Vigil, along with some other intellectual properties are not included in the sale agreements. They will remain part of the Chapter 11 case. We will make every effort to find appropriate buyers, if possible.

What this means for employees

We expect that most employees of the entities included in the sale will be offered employment by the new owners. However, we cannot say what these owners may intend, and there will likely be some positions that will not be needed under the new ownership. You should receive notice this week or early next week if the new owners intend to extend employment to you. Please note that the terms of your new employment, including pay and benefits, may be different from the current terms of your employment with THQ.

If you are an employee of an entity that is not included in the sale, we regret that your position will end. A small number of our headquarters staff will continue to be employed by THQ beyond January 25 to assist with the transition. THQ has sufficient resources to pay these employees for work going forward, and we will be contacting these employees immediately to ensure their continued employment during this transition period. We are requesting the ability to offer certain severance pay to minimize disruption for employees of non-included entities as they determine the next steps in their careers.

We know you will have many questions about this news. We’ll be meeting tomorrow when we return to talk through this announcement and to answer any questions you have. You will receive a benefits fact sheet and FAQs with answers to some questions that may be on your mind. Please review these materials closely.

A personal note

The work that you all have done as part of the THQ family is imaginative, creative, artistic and highly valued by our loyal gamers. We are proud of what we have accomplished despite today’s outcome.

It has been our privilege to work alongside the entire THQ team. While the company will cease to exist, we are heartened that the majority of our studios and games will continue under new ownership. We were hoping that the entire company would remain intact, but we expect to hear good news from each of the separate entities that will be operating as part of new organizations.

For those THQ employees who are part of entities that are not included in the sale, we are confident that the talent you have displayed as part of THQ will be recognized as you take the next steps in your career.

Thank you all for your dedication and for sharing your talent with the THQ team. We wish you the best of luck and hope you will keep in touch.

Sincerely – Brian Farrell, Chief Executive Officer / Jason Rubin, President

Auction: 

thqauction

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Author: Ernice Gilbert View all posts by
Ernice Gilbert here. Founder and Editor-In-Chief of Gamesthirst. Thanks for stopping by, make yourself at home!

2 Comments on "The End of THQ"

  1. nick January 24, 2013 at 9:18 am -

    *cry*
    its a sad day for the industry, we have lost one of THE best publishers out there, and the ONLY publisher which prided themselves on uniqueness and ALWAYS bringing their touch, a sense of ambition and freshness to EVERYTHING!
    R.I.P THQ!

  2. benzo January 24, 2013 at 10:06 am -

    This is really really sad for those who lost jobs and the industry as a whole. THQ was an awesome company and had many great devs and games come through them. I have to point out that THQ’s demise can be linked to the plague tha twas U Draw. YEAH YEAH I KNOW…I sound like a hater. SO WHAT!!!! Vigil is dead and with them, The Darksiders franchise…All because the stupid U Draw pad. That gamble by THQ cost them EVERYTHING!! So now we have to cross our fingers and hope that Saints Row doesnt get ruined by their new owner messing with Volition and we have to pray that the people at Vigil find work and land on their feet.

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