Sections

Starbreeze applies for third extension on reconstruction period

If granted, troubled Swedish publisher would have had an entire year to avoid insolvency

Update: The Stockholm District Court has today approved Starbreeze's request for a further extension, the publisher has announced. Its reconstruction period will now end on December 3, 2019.

Original Story 03/09/2018: Starbreeze has requested that the Stockholm District Court allow it another extension as it tries to salvage its business.

The company is asking for a further three months of reconstruction, a special recovery period open to Swedish businesses that face insolvency.

This will be Starbreeze's third extension, with the second expiring today. If granted, it would give the company up to December 3, 2019 -- the one-year anniversary of when it first applied.

Once again, the administrators in charge of handling Starbreeze's case are supporting the request, according to the company's announcement.

Starbreeze is attempting to refocus its business on internal games development in order to recover from the struggles of Overkill's The Walking Dead.

It has previously sold off subsidiaries, such as Dhruva Interactive, sold the publishing rights to titles such as 10 Crowns and System Shock 3, and laid off a quarter of its staff to cut costs.

Related stories

Starbreeze proposes plan to pay debts in full

Administrator signs off on reconstruction schedule that would see Payday outfit meet obligations to creditors within five years

By Brendan Sinclair

Starbreeze lays off a quarter of its staff in further efforts to cut costs

Struggling Swedish publisher makes organisational changes that will save Ł310,000 per month

By James Batchelor

Latest comments

Sign in to contribute

Need an account? Register now.