THQ’s Amended Sale Schedule Approved by Courts
THQ may still go to Clearlake Capital Group—but according to an announcement the publisher sent out today, the door is now open for other companies to start bidding on THQ as a whole, or its assets. While the schedule originally called for THQ to be sold to Clearlake for $60 million on January 10—barring any higher bids from other companies—complaints from creditors have led to a revised and amended sale schedule.
The new schedule sets the beginning date of the auction for January 22 at 3 p.m., Eastern, and wthe hearing on the sale will be at 9:30 a.m. the next day, with the closing happening on January 24. Clearlake’s $60 million offer is set as the opening bid, and other competing bids are due on that day by 9 a.m.
Said THQ’s chairman and CEO Brian Farrell:
“Today’s ruling provides a clear path. We will now know definitively by January 23 where we stand. We appreciate the support of our employees, partners, and suppliers now more than ever.”
So what’s different about the new sale schedule, besides the date? Most importantly, the process will now allow for other companies to bid on portions of THQ’s assets—but only if the combined offers are more than that of the highest offer for the entire company. So that means if, say, Warner Bros. Interactive wants to buy Volition, the other portions of THQ have to be bid on as well—and all those bids have to combine to a higher price than one company is willing to pay for the whole enchilada. I’m not sure what the most likely scenario is, but we’ll know in a couple weeks.