Results Of The THQ Auction [UPDATE]

By Dog of Thunder, 6 years ago
UPDATE: Vigil Games, the developer of Darksiders, has been closed.

Original Story We reported earlier regarding THQ's bankruptcy that their assets would be made available in a public auction. That auction ended today, with documents filed at 3:00 PM EST in the United States Bankruptcy Court District of Delaware. What follows are the results of the auction with the asset, winning bidder and the winning bid listed (if applicable) with all information pulled from the official court documents.

Item #1 - Relic - Developer of the Company of Heroes titles and Warhammer 40k titles, includes all assets for Company of Heroes but NOT Warhammer 40k
Winning bidder: SEGA
Winning bid: $26.6 million
Back-up bidder: Zenimax Media
Back-up bid: $26.3 million

Item # 2 - Montreal - Developer of the upcoming 1666 and Underdog
Winning bidder: Ubisoft
Winning bid: $2.5 million
Back-up bidder: None

Item # 3 - Evolve - Upcoming game being developed by Turtle Rock
Winning bidder: Take-Two Interactive Software
Winning bid: $10.894 million
Back-up bidder: Turtle Rock Studios
Back-up Bid: $250,000

Item # 4 - Volition - Developer of the Saint's Row franchise, includes all assets for Saints Row
Winning bidder: Koch Media GmbH (Parent company of Deep Silver, the Dead Island developer)
Winning bid: $22,312,925
Back-up bidder: Ubisoft
Back-up bid: $5.4 million

Item #5 - Homefront - All assets related to Homefront and Homefront 2
Winning bidder: Crytek
Winning bid: $544,218
Back-up bidder: None

Item #6 - Metro - All assets related to Metro 2033 and Metro 2034
Winning bidder: Koch Media
Winning bid: $5,877,551
Back-up bidder: Ubisoft
Back-up bid: $5.175 million

Item #7 - South Park - All assets related to South Park: The Stick of Truth
Winning bidder: Ubisoft
Winning bid: $3,265,306
Back-up bidder: None

In going further into the documents, there is not one mention of the fate for the Warhammer 40k license or the WWE license. SEGA did not pick up the Warhammer 40k license when they acquired Relic, leaving the assumption that the licenses will revert back to the license holder, in these cases Games Workshop and WWE Inc.

Furthermore, all assets not listed as being sold, such as Vigil and the Darksider franchise, will still hopefully find a buyer at a later date.

The court documents will be available (in .pdf format) as the external link at the bottom of this article for those that wish to read the nitty gritty regarding music licenses and independent contractors that changed hands as a result of the aforementioned sales. In closing, what follows is the letter from THQ President Jason Rubin, which he sent to all THQ staff. I can think of no better way to end this sad saga then by letting the THQ President have the final say:

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 is as follows :
> Sega agreed to purchase Relic
> Koch Media agreed to purchase Volition and Metro
> Crytek agreed to purchase Homefront
> Take 2 agreed purchase Evolve and
> 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.

Brian Farrell
Chief Executive Officer

Jason Rubin