Publisher Majesco and Indie Label Midnight City in Financial Trouble
New Jersey-based video game publisher, Majesco, and its indie lable, Midnight City, seem to be undergoing a financial turmoil. The situation was uncovered after several SEC filings that were published during the last week, alongside word from industry sources.
Gamasutra reports that Majesco filed a report with the Securities and Exchange Commission on November 6, which states in reference to layoffs that “the reduction includes development and game-testing, selling and marketing, and support personnel.” The same filing states:
We are currently not developing any significant new games for release in fiscal 2015. We have suffered losses that raise substantial doubt about our ability to continue as a going concern. Accordingly, we are evaluating various alternatives, including reducing operating expenses and personnel costs, securing additional financing for future business activities, and other strategic alternatives including a sale or merger of our company.
Majesco has published a number of games across multiple platforms including the critically acclaimed Psychonauts. The indie label Midnight City recently published Double Fine’s Costume Quest 2.