Funcom has been facing financial troubles for some time now, however that’s all about to change as the company just received a huge private placement investment.
The independent game developer and publisher, known for the Age of Conan, Anarchy Online and The Secret World MMOs, recieved a 6.3 million USD private placement investment. The company also significantly reduced its debt by 7.7 million USD through a debt conversion process that has no cash impact on the company. As a result, the company’s equity greatly improved from -10 million USD to more than +4 million USD.
In regards to the investment, Funcom CEO Rui Casais said, “This investment is a major turning point for the company. Funcom has been making great games for more than twenty-three years, but it is no secret that the company has had a strained financial situation in recent years that made it challenging to fully realize our new strategy and get back on the right track. This investment allows us to finally do that.”
Through a partnership with Conan Properties, Funcom’ is developing Conan Exiles, an open-world survival game that launches into Early Access during late summer 2016. Conan Properties announced last year that this partnership would make Funcom the preferred partner for all PC and console games based on the Conan the Barbarian brand, the first of which is Conan Exiles.
The company’s strengthened financial situation also allows it to continue supporting and expanding its current live games.