Nacon, the company responsible for titles like RoboCop: Rogue City and Hell is Us, has officially declared its state of insolvency and has requested a judicial reorganization before the French courts. This decision aims to avoid imminent bankruptcy after acknowledging that it does not have enough assets to cover its debts. Nacon’s financial situation has deteriorated, largely due to the inability of its main shareholder, Bigben Interactive, to refinance a significant loan, which has jeopardized the company’s stability by failing to meet its financial commitments.
There is still a slight hope
As a result, Nacon has resorted to a legal mechanism that allows it to temporarily freeze its debts. This judicial process provides a breather for the company’s management, which can now negotiate with its creditors and seek a viable solution to continue its operations. The company has emphasized that its priority is to protect the jobs of its employees and develop a continuity plan that is acceptable to the involved banking entities.
The situation becomes even more complicated as Nacon plans to launch several anticipated video games and a promotional event, Nacon Connect, scheduled for March 4th. At this event, new titles will be presented, including the action RPG Edge of Memories and the horror adventure Cthulhu: The Cosmic Abyss. This launch will be crucial not only to showcase their catalog but also to calm investors’ concerns amid the company’s current crisis.
Additionally, Nacon’s shares on the Paris stock exchange were suspended on February 20 as a preventive measure to avoid a drastic drop in their value, since the court’s decision on the reorganization is expected in early March. Uncertainty about the company’s future remains high, as the video game industry faces structural changes and unprecedented layoffs in the sector.