‘It is no secret that the company has had a strained financial situation in recent years,’ admits CEO Rui Casais. ‘This investment is a major turning point’
Troubled MMO developer Funcom has been bailed out of negative equity by an injection of investment money.
The LEGO Minifigures Online, Age of Conan and The Secret World creator had previously been sat at –$10 million, which has now been reversed to +$4 million thanks to $6.3 million in private placement investment.
The studio has also dropped its debt by $7.7 million by utilising a debt conversion process.
Going forwards, the developer said it would implement a new strategy, prioritising the creation of both smaller and bigger projects simultaneously in its Oslo and North Carolina offices.
Its largest game in progress is Conan Exiles, set for launch on Early Access this summer. The title marks the next release as part of Funcom’s partnership with licence-holder Conan Properties.
“This investment is a major turning point for the company,” said Funcom CEO Rui Casais.
“Funcom has been making great games for more than 23 years, but it is no secret that the company has had a strained financial situation in recent years that made it challenging to fully realise our new strategy and get back on the right track.
“This investment allows us to finally do that.”