Midway Games nearing bankruptcy?

By on December 5, 2008, 12:54 PM
Earlier this month Midway majority shareholder Sumner Redstone sold off his controlling stake of 87% in the company for a paltry $100,000. Not only did the move unsurprisingly sent the company’s stock prices down to its current of 23 cents per share, but the change in control also triggered a provision that allows Midway’s creditors to demand immediate repayment of debt.


Given Midway’s poor financial state they’re expected to so, with the debt amounting to more than $150 million, and it looks like the company won't be able to meet the request. According to Variety, Midway has 50 days to come up with the money – which seems highly unlikely no matter how well their “Mortal Kombat vs. DC Universe” title sells (and apparently it is selling pretty well). In other words, should their creditors decide not to play ball, Midway could be bankrupt before the end of January 2009.




User Comments: 4

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gobbybobby said:
Well that sucks, I have one game by them, unreal tournament 3 and I enjoyed it. I jst hope they don't run the game server.
windmill007 said:
Yes this was/is a great company. Enjoyed there games very much,
aolish said:
[b]Originally posted by gobbybobby:[/b][quote]Well that sucks, I have one game by them, unreal tournament 3 and I enjoyed it. I jst hope they don't run the game server.[/quote]UT3 was made by Epic Games using the Unreal Engine 3, not by Midway.. Midway was the publisher. On topic, its very sad that this has to happen to the company. Hopefully MK vs DC actually does pull up some profit for them.
tedster said:
midway? bummer. i miss the old arcade games.
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