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Desura's parent company has filed for bankruptcy

Bad Juju, the parent company of game bundle seller Indie Royale and digital distribution storefront Desura, has filed for bankruptcy.

Bad Juju, the parent company of game bundle seller Indie Royale and digital distribution storefront Desura, has filed for bankruptcy.

The bankruptcy adds more uncertainty to an already foggy situation. Bad Juju, which acquired Desura from Linden Lab late last year, was already behind on payments to game developers. Any further disruption to the storefront or to Indie Royale could cause further financial complications for those waiting to get paid.

Lisa Morrison, head of developer relations at Bad Juju, told Gamasutra she just found out about the bankruptcy on Friday morning, via Twitter. She said she had few details on the situation.

“I asked Tony [Novak, CEO of Bad Juju] for confirmation and all he could tell me was, ‘The lawyers have said I can't say anything or answer any questions yet, but yes it's true.’”

Morrison, who expressed shock and sadness on her own Twitter account over the ordeal, said she expects more details will emerge when Bad Juju’s trustees allow for it.

“I'm just shocked right now...stunned,” she said. “I had no idea this was coming.”

Meanwhile on Desura’s website, The Indie Stone, the developer behind the game Project Zomboid recommended that players who haven’t activated Steam keys purchased via Desura to do so “as soon as possible.”

News of bankruptcy trouble began to emerge when Indie Royale’s Graeme Boxall tweeted, “If you Google, Bad Juju bankruptcy, you find some very unfortunate news.” The internet search points to evidence of the bankruptcy filing.

We’ll continue to follow this story as it develops.

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