Crytek Denies Rumors That It Is 'Close to Bankruptcy'

June 23, 2014 - GamePolitics Staff

Crysis series and CryEngine middleware developer Crytek has denied a report in German publication Gamestar alleging that the company is teetering on the brink of bankruptcy. The GameStar report alleges that the Frankfurt, Germany based company was in serious financial trouble after its Xbox One launch title Ryse failed.

According to a translation of the report from Eurogamer, GameStar claims that an employ told them that the "vultures are circling already" and other companies are trying to hire away staff. There's also a rumor circulating that World of Tanks maker Wargaming was interested in buying the company. These rumors are likely getting some attention because it has long been rumored that the company is either late on paying some staff or hasn't paid them at all.

Before E3 one source told Eurogamer that Crytek's Sofia office in Bulgaria hadn't received salaries for the past two months. Eurogamer has also received reports from sources familiar with Crytek UK, that the company failed to pay employees on time.

So what does Crytek have to say about all these rumors?

A Crytek spokesperson issued the following statement to Eurogamer:

"Regardless of what some media are reporting, mostly based on a recent article published by GameStar, the information in those reports and in the GameStar article itself are rumors which Crytek deny.

We continue to focus on the development and publishing of our upcoming titles Homefront: The Revolution, Hunt: Horrors of the Gilded Age, Arena of Fate, and Warface, as well as providing ongoing support for our CryEngine and its licensees.

We have received a lot of positive feedback during and after E3 from both gaming press and gamers, and would like to thank our loyal employees, fans and business partners for their continuous support.

Crytek has a number of studios worldwide, and has recently announced a number of games in development, including Homefront: The Revolution at Crytek UK in Nottingham and Hunt: Horrors of the Gilded Age at Crytek USA in Austin, Texas. It also has a game engine licensing business for CryEngine.

We have received a lot of positive feedback during and after E3 from both gaming press and gamers, and would like to thank our loyal employees, fans and business partners for their continuous support."

We'll have more on this story as it develops.

Source: Eurogamer


 
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