THQ is on the edge of foreclosure. But the publisher today announced a forbearance deal with Wells Fargo which gives the company until January 15, 2013 to secure financing alternatives with an unidentified sponsor.
The Saints Row: The Third and Darksiders II publisher indicated it was pursuing alternative options when it announced consultation with a private equity broker and withdrew financial guidance earlier this month.
“We are pleased to have reached an agreement with Wells Fargo. This agreement enables us to continue focusing on bringing our games in development to market,” THQ CEO Brian Farrell said in a statement. “Meanwhile, we are evaluating financial alternatives that will transition the company into its next phase.”
The release warns the potential sponsorship may not come to fruition, and if it does, it may bring about "significant and material dilution to shareholders." THQ also announced the departure of its chief financial officer Paul Pucino in the release.
THQ delayed several of its games earlier this month, including South Park: The Stick of Truth, Company of Heroes 2, and Metro: Last Light.