Wrestleview’s own Gregory “Grash” Walek passed this along.
Judge rejects THQ Bankruptcy Bid Plan
On Jan 4th, Judge Mary Walrath overseeing objections to THQ’s Bankruptcy plan did not approve the bidding procedure for THQ assets. The bidding plan presented by THQ was designed for a quick sale by Jan 15th with Clearlake. This plan was rejected based on it does not provide enough time for due diligence for five other known companies to prepare bids. THQ filed for bankruptcy on Dec 21st, heading into the holiday season. Another part of the THQ plan was to sell the company in whole. Creditors contend that the company is worth more sold in parts.
The Warner Brothers is one of the companies and appeared at the hearing to tell the court that they are interested with more time allowed. This move by Warner Brother is in line with their plans to improve their Interactive Division. Warner Brother was one of the major players to purchase assets, most notably the Mortal Kombat franchise, out of the Midway Bankruptcy Sale.
Ubisoft previous also indicated they have interests for THQ assets, but nothing else official is known at this time.
The next hearing on THQ’s Bankruptcy plan will be held Monday (Jan 7th).
Also related to this story, on Jan 3rd, WWE was named to THQ’s Creditor Committee. WWE joins Wilmington Trust, Silverback Asset Management, Mattel, and Viacom on this committee.
Sources:
https://twitter.com/DDInvesting
http://www.distressed-debt-investing.com/
http://www.joystiq.com/2013/01/05/judge-denies-thqs-plan-for-a-quick-sale-as-warner-bros-others/
http://www.mcvuk.com/news/read/ubisoft-plots-thq-bid/0108645