Developer 10Tacle Studios AG (GTR, Warfront: Turning Point
) filed for insolvency, according to a German-language regulatory statement made available
at the Wall Street Online website.
Apparently, the €6.2 million ($9.6 million) convertible bond and capital increase the company got from its investors fell through. 10Tacle expected the financing would alleviate its liquidity shortage and support its restructuring measures, which are already underway.
The Darmstadt, Germany-based studio also recently halted its acquisition
of Berlin's The Games Company (Simon the Sorcerer
). TGC claimed that the deal fell through "due to the restructuring and new focusing of business activities at 10Tacle" -- in other words, the company couldn't raise the necessary capital to close the transaction. Instead, TGC management will take over the shares of its own company.
10Tacle's supervisory board chairman Rainer Marquart announced his resignation in late July. He'll be replaced by Udo Schaar, a representative of SpiritON MEDIA SE, the main investor behind 10Tacle's planned capital increase.
10Tacle London branch Blimey Games subsequently released a statement saying the filing will not affect the company or its upcoming products, including a project underway with the Ferrari license. The studio also noted that it recently signed "an unannounced but major brand for a top publisher."
Says Blimey Games CEO and creative director Ian Bell: “Despite 10T’s unfortunate and recently announced insolvency, Blimey Games is in a very strong position. We have recently signed an unannounced major project for a top tier publisher which secures our continued growth, and our Ferrari
title remains unaffected. Work will continue as normal at our studio.”