• After recent events it was confirmed earlier today that THQ basically no longer exists.  THQ’s CEO sent out a letter to THQ employees earlier today which we have for you below (courtesy of Kotaku):

    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 t:

    • 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

    Anyone who follows the industry closely knows that THQ has been in quite a bit of trouble lately and now its seems to be over.  Assets have been sold off and, unfortunately, quite a few people have lost their jobs.  The results of THQ’s auction of assets is below:

    • Take Two has agreed to purchase Turtle Rock Studios’ project codenamed Evolve.
    • Crytek has purchased the rights to the Homefront franchise.  Crytek was already in the process of making Homefront 2 for THQ so I don’t see this affecting the game much, if at all.
    • Sega has purchased Relic.  Relic is the development studio behind Company of Heroes and Warhammer 40,000: Dawn of War.
    • Koch Media (owner of Deep Silver) has purchased the Metro franchise in addition to Volition and Saints Row.
    • Ubisoft has purchased the rights to publish South Park: The Stick of Truth.  They also purchased THQ’s Montreal studio which was developing a project codenamed 1666.

    At the time of this writing the future of Vigil and the Darksiders franchise is unclear.  Obviously THQ won’t be around to make any more WWE games, however, the current rumor is that Take Two is interested in the WWE license as well.  I stress that is only a rumor at this point.  It would seem that most of the THQ franchises that people enjoy have found new homes and hopefully they will remain intact.  I am personally hoping that Vigil can find a new home and that the Darksiders franchise can continue.

    Distressed Debt Investing has informed us what each studio/franchise went for as well.

    • Crytek paid $500,000 for the Homefront franchise
    • Ubisoft paid 3.2 million for South Park and 2.5 million for THQ’s Montreal studio
    • Koch Media paid 5.8 million for the Metro franchise and 22.3 million for Volition
    • Take Two paid 11 million for the upcoming title Evolve.
    • Sega paid 26 million for Relic

    We here at the Totally Gaming Network would like to wish all of the THQ employees who lost their job today the best of luck landing on their feet with a new company.  THQ had a great library of franchises and the gaming industry is usually really quick about hiring new talent when something like this occurs and I have no doubt that will be the case this time as well.

    What was your favorite game and/or franchise to come from THQ?  How do you think these new companies will handle their newly acquired franchises?  Tell us what you think below.

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