Sign in with
Sign up | Sign in

Ubisoft May Bid to Purchase Staggering THQ

By - Source: MCV | B 30 comments

Unnamed sources indicate that Ubisoft may bid for THQ once the rival publisher deals with its financial problems.

MCV reports that Ubisoft is one of the "front-runners" in the bid to buy rival THQ. The Far Cry publisher is interested in taking over the latter company's brands and studios once THQ irons out its current financial woes. Both parties are reportedly in lengthy discussions about a possible acquisition.

On Wednesday a staggering THQ said that it had entered into an Asset Purchase Agreement with a “stalking horse bidder,” affiliates of Clearlake Capital Group, L.P., to acquire substantially all of the assets of THQ’s operating business. This acquisition includes THQ’s four owned studios and games currently in development.

"The sale will allow THQ to shed certain legacy obligations and emerge with the strong financial backing of a new owner with substantial experience in software and technology," THQ said.

To facilitate the sale, THQ and its domestic business units filed voluntary petitions under Chapter 11 of the U.S. Bankruptcy Court for the District of Delaware – the company’s foreign operations, including Canada, are not included. The company has obtained commitments from Wells Fargo and Clearlake for debtor-in possession (DIP) financing of approximately $37.5 million, subject to Court approval, THQ said.

THQ added that during the sale period, it will conduct business as usual, meaning that all the studios will remain open, and development of games will push on uninterrupted. However as part of the sale, THQ is seeking approval to assume the contracts of these studios, and Clearlake will assume these contracts.

Meanwhile, Ubisoft is reportedly looking for a "bargain buy" and is willing to hold out on a purchase until THQ and its new owner get desperate enough to sell off specific assets. This is similar to what happened to the now-shuttered Midway Games when it went into bankruptcy back in February 2009.

If Ubisoft proves successful in acquiring THQ as a whole, it will gain highly successful IPs including Saints Row, Darksiders, Warhammer 40,000 licensing, Company of Heroes, Red Faction and more. That's just on the PC gaming front – THQ has a larger console library spanning licenses with the WWE, UFC, Nickelodeon, and loads more.

 

Contact Us for News Tips, Corrections and Feedback

Display 30 Comments.
This thread is closed for comments
Top Comments
  • 18 Hide
    rahulkadukar , December 21, 2012 4:00 PM
    These games will become UPlay which is even worse than Origin
  • 16 Hide
    spasmolytic46 , December 21, 2012 4:04 PM
    I really hope this doesn't happen. Ubisoft is on my no buy list.
  • 13 Hide
    edogawa , December 21, 2012 5:04 PM
    No. :(  I love THQ games, they are not the best, but they are very fun.

    I wish Valve would save them.
Other Comments
  • 6 Hide
    Anonymous , December 21, 2012 3:55 PM
    not a big fan of ubisoft as theyve started going the same way as EA and have started using their own service for PCs, but I love a lot of THQs games and would like to see them being released in the future
  • 18 Hide
    rahulkadukar , December 21, 2012 4:00 PM
    These games will become UPlay which is even worse than Origin
  • 16 Hide
    spasmolytic46 , December 21, 2012 4:04 PM
    I really hope this doesn't happen. Ubisoft is on my no buy list.
  • 9 Hide
    Anonymous , December 21, 2012 4:08 PM
    *deep breath*
    NOOOOOOOOOOO!
  • -5 Hide
    bryonhowley , December 21, 2012 4:15 PM
    Would be a good deal for both. I really like a lot of UBI games and if they could keep some of THQ's IP alive that would be great for both.
  • 8 Hide
    thecolorblue , December 21, 2012 4:31 PM
    wozza365not a big fan of ubisoft as theyve started going the same way as EA and have started using their own service for PCs, but I love a lot of THQs games and would like to see them being released in the future

    THQ games will become "Ubisofted" just as good gaming franchises have been destroyed by EA... same goes for great Blizz franchises being destroyed by the influence of Activision.

  • 9 Hide
    BulkZerker , December 21, 2012 4:35 PM
    GABE SAVE THQ!
  • 9 Hide
    the_crippler , December 21, 2012 4:40 PM
    spasmolytic46I really hope this doesn't happen. Ubisoft is on my no buy list.



    Ditto. Stopped buying their games years ago. Worse DRM than EA.
  • 13 Hide
    edogawa , December 21, 2012 5:04 PM
    No. :(  I love THQ games, they are not the best, but they are very fun.

    I wish Valve would save them.
  • 9 Hide
    Vorador2 , December 21, 2012 5:24 PM
    Please no. Neither Activision, nor Ubisoft. EA is bad, but not as worse as those.

    With any luck, Valve or Bethesda will pick them up.
  • 2 Hide
    cronik93 , December 21, 2012 5:27 PM
    Oh god please no.
  • -4 Hide
    MarioJP , December 21, 2012 5:34 PM
    Yea that would suck. I don't think Valve has the resources to buy THQ me thinks.
  • 2 Hide
    Bean007 , December 21, 2012 5:37 PM
    Say no to UBI & EA
  • 0 Hide
    the_crippler , December 21, 2012 6:24 PM
    MarioJPYea that would suck. I don't think Valve has the resources to buy THQ me thinks.



    ...Or desire, probably.
  • 1 Hide
    eklipz330 , December 21, 2012 7:50 PM
    MarioJPYea that would suck. I don't think Valve has the resources to buy THQ me thinks.

    they definetely do. interest? probably not. the only ips thq really has that are decent are saints row and darksiders... nothing else really appeals to me.
  • 0 Hide
    f-14 , December 21, 2012 9:21 PM
    due to the DRM and online requirements i do not buy those games unless there are hacks to remove all that.
  • 0 Hide
    tomfreak , December 21, 2012 10:35 PM
    rahulkadukarThese games will become UPlay which is even worse than Origin
    Ubisoft makes better games than EA crap.... So I am actually fine t
    MarioJPYea that would suck. I don't think Valve has the resources to buy THQ me thinks.
    Vorador2Please no. Neither Activision, nor Ubisoft. EA is bad, but not as worse as those.With any luck, Valve or Bethesda will pick them up.
    valve? NO!

    u will not see Darksider 3, 3rd Metro, company of heroes 3, dawn of war 3. Homefront 3(homefront sequel is make by crytek).

    Bethesda, 2K games > valve imo :D 


  • -2 Hide
    bigpoppastuke , December 21, 2012 11:47 PM
    THQ doesn't own the rights to THQ anymore. EA does.
  • 0 Hide
    alidan , December 22, 2012 12:53 AM
    MarioJPYea that would suck. I don't think Valve has the resources to buy THQ me thinks.


    gabe is a billionaire, how many extremely wealthy people had more money than the company they run?

    from my understanding thq is 50 million in the red with at least 3 blockbuster games soon to be released, metro last light, company of heros 2, and stick of truth, and they were developing saints row the third.

    i have a great question... why did thq go in the red in the first place, they seam to have so many AAA games that the only way they would hit the red would be gorss miss management.

  • 5 Hide
    kinggraves , December 22, 2012 2:01 AM
    I'm not that concerned about the loss of THQ, which has a lot of shovelware behind a few high end titles. What I'm concerned about is the general trend taking place in the industry. The old publishers are flopping and being bought out by larger publishers. EA, Activision, Namco/Bandai, Square/Enix/Eidos. This is going to end with us having a select few AAA publishers and multiple indie devs. A few huge fish and a bunch of tiny fish. The huge fish do not innovate and the small fish can't get ahead.

    The moral here is simple. AAA titles cost a lot to make, these companies do not make the billions you think they do. Stop pirating games you like and buy them, developers NEED profits to make sequels. A lot of good titles have died off over the years due to lack of interest.

Display more comments
Tom’s guide in the world
  • Germany
  • France
  • Italy
  • Ireland
  • UK
Follow Tom’s guide
Subscribe to our newsletter