By Kevin McCauley
FTI Consulting is handling the Chapter 11 bankruptcy filing of Atari, the videogame pioneer that produced the classic “Pong” game.
The move follows the failure of key shareholder and lender BlueBay to find a buyer for its ownership position that had been up for sale in October 2010.
Though Atari reported operating profit for the past two years, it says that BlueBay’s decision to pull the plug on future outlays has made it “starved for funds.”
CEO Jim Wilson said in a statement: “In light of the current situation with BlueBay, we have decided to take what we think is the best decision to protect the company and its shareholders.”
He expects the sale of the company or Chapter 11 reorganization to be completed within three months.
Founded in 1972, Atari bills itself as the “original innovator of video gaming.” Its portfolio of more than 200 games include Asteroids, Centipede, Missile Command, Test Drive, Backyard Sports and RollerCoaster Tycoon.
FTI senior VP Guillaume Granier and media relations consultant Nicolas Jehly are handling the Atari chapter 11 filing. |