informa
/
Business
News

Starbreeze seeking to extend reconstruction period for a third time

Payday 2 developer Starbreeze has asked the Stockholm District Court to extend its reconstruction period for a third time as it looks to chart a path forward.

Payday 2 developer Starbreeze has asked the Stockholm District Court to extend its reconstruction period for a third time as it looks to chart a path forward. 

The struggling studio has been in dire financial straits since the underwhelming launch of Overkill's The Walking Dead, and back in May revealed it lacks the funds to operate for another year. 

It's a situation that resulted in significant layoffs, and also saw the company sell off key assets including the publishing rights to Psychonauts 2 and System Shock 3 in a bid to raise cash and buy time. 

The Stockholm District Court has previously granted the developer two extended reconstruction periods up until September 3, 2019, but now the company is seeking an additional three months. 

If the latest exertion is granted, Starbreeze intends to continue funneling resources into its core business of internal game development. 

"In the short term, our finances are now secured as we have divested assets belonging to our non-core segment which has generated liquidity taking us to the second quarter in 2020," noted acting CEO Mikael Nermark at the end of August

"The work with the long-term financing is on-going with multiple parallel tracks, while we at the same time are negotiating with our creditors. As an effect of the refocusing to our core business, game development with own IP, we have now taken actions on most of our non-core businesses."

Latest Jobs

Sucker Punch Productions

Bellevue, Washington
08.27.21
Combat Designer

Xbox Graphics

Redmond, Washington
08.27.21
Senior Software Engineer: GPU Compilers

Insomniac Games

Burbank, California
08.27.21
Systems Designer

Deep Silver Volition

Champaign, Illinois
08.27.21
Senior Environment Artist
More Jobs   

CONNECT WITH US

Register for a
Subscribe to
Follow us

Game Developer Account

Game Developer Newsletter

@gamedevdotcom

Register for a

Game Developer Account

Gain full access to resources (events, white paper, webinars, reports, etc)
Single sign-on to all Informa products

Register
Subscribe to

Game Developer Newsletter

Get daily Game Developer top stories every morning straight into your inbox

Subscribe
Follow us

@gamedevdotcom

Follow us @gamedevdotcom to stay up-to-date with the latest news & insider information about events & more