Pioneering videogame firm Atari gets lifeline

Feb 05, 2013
A man carries a box with an Atari game in Sao Paulo, Brazil, on January 30, 2013. Atari, the pioneering video game company mired in bankruptcy proceedings in both France and the US, said on Tuesday it had found a last minute buyer after the latest leading shareholder gave up on turning the company around.

Atari, the pioneering video game company mired in bankruptcy proceedings in both France and the US, said on Tuesday it had found a last minute buyer after the latest leading shareholder gave up on turning the company around.

Atari SA "supports the proposed acquisition of the BlueBay Funds' interests in the Atari group by a longtime videogame professional and a fund advised by Alden Global Capital," the videogamer said in a statement.

Atari was born 40 years ago in California and jumped to fame by bringing the experience to living rooms worldwide with games such as Pong and Centipede.

The key buyer of the embattled company is Frenchman Frederic Chesnais, a former Atari executive, who is picking up 25 percent of the Atari SA's capital through his own fund Ker Ventures for 400 euros with Alden providing financing.

"I made this move because I love the team, I know about games, I love the brand and in the past we have all spent nights and days to make it shine," said Chesnais who becomes Atari with the deal.

"I am just given a few weeks to put the Company back on track and I have to give it a try," Chesnais said.

In the buyout which includes taking over debt, Alden and Ker Ventures agree to pump 5.0 million euros ($6.7 million) in Atari's US activities where the company hopes to break through.

Explore further: Samsung removes logo on smartphones in Japan

Related Stories

Video gaming gets back to roots in Paris show

Nov 10, 2011

From the 1970s table-tennis game "Pong" to the fast-paced, total-immersion of modern-day hits like "Call of Duty", a new show retracing the four-decade history of the video game opened Thursday in Paris.

Director Cameron's company files for bankruptcy

Sep 11, 2012

(AP)—The digital production company founded by "Titanic" director James Cameron has filed for bankruptcy protection in the U.S. and Canada and reached a deal to sell its operating business to a private investment firm for ...

Recommended for you

Taiwan factory workers win $18 mn over cancer deaths

Apr 17, 2015

Workers from a factory in Taiwan which leeched toxic chemicals they say resulted in 200 deaths from cancer and more than 1,000 other cases of the disease won a Tw$564.45 million ($18 million) payout from US electronics company ...

Court monitor: Apple antitrust cooperation has 'declined'

Apr 17, 2015

Apple Inc.'s cooperation with efforts to improve its compliance with antitrust laws after a federal judge concluded it colluded with electronic book publishers to raise prices five years ago took on an "adversarial tone" ...

SEC questions LA Unified on use of bonds for iPad project

Apr 17, 2015

The Securities and Exchange Commission recently questioned Los Angeles Unified School District officials as part of informal inquiry into whether they properly used bond funds for a beleaguered $1.3 billion project to provide ...

User comments : 0

Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.