Warner Bros. Interactive has been named as a potential buyer for THQ’s assets, according to a report coming out of the companies US Bankruptcy Court proceedings in Delaware on January 4th.
Lawyers representing Warner Bros. were present during Friday’s proceedings;
Investment firm Clearlake Capital is currently waiting for stockholder and court approval to purchase THQ. Stockholders have argued earlier this week that the 30-day approval window for Clearlake’s purchase is not adequate enough to allow other potential buyers to submit offers.
Judge Mary Walrath did not approve THQ’s Debtor in Possession motion or the motion for bidding procedures, instead stating that all parties involved will need to “discuss and work out their issues over the weekend.”
A new hearing has been set for for this Monday (7th January).
Should the DIP motion have been granted, THQ would have been able to remain in possession of its property despite liens issued by creditors or other parties with a security interest.
Creditors of THQ consist of Wilmington Trust, WWE, Silverback Asset Management, Mattel and Viacom.
THQ filed for Chapter 11 bankruptcy in December and normally when filing Chapter 11 the corporation or business which continues to operate under these proceedings is considered a Debtor in Possession.
Sometimes the DIP can keep its assets should it pay its creditors a fair market value for said assets, even if a different price was noted on a contract.
More news right here as we get it.