THQ Acquires Revolutionary Game Developer Volition.Business/Entertainment Editors & High-Tech/Video Game Writers
CALABASAS HILLS, Calif.--(BUSINESS WIRE)--Sept. 5, 2000
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THQ Theater Headquarters Inc. (Nasdaq:THQI) today announced that it has acquired revolutionary game developer Volition vo·li·tion
1. The act or an instance of making a conscious choice or decision.
2. A conscious choice or decision.
3. The power or faculty of choosing; the will. Inc.
As consideration for the transaction, THQ issued approximately 890,100 shares of common stock, assumed existing Volition stock options providing for the future issuance of approximately 109,900 shares of THQ common stock, and assumed approximately $500,000 in net liabilities. The acquisition was consummated on Aug. 31, 2000, and will be accounted for as a pooling of interests Pooling of Interests
An accounting method, used in mergers and acquisitions, where the balance sheet items of the two companies are simply added together.
The opposite of pooling of interests is the purchase acquisition method. .
Volition, located in Champaign, Ill., is a leading high-technology game developer for next-generation console systems and PC. A spin-off of Parallax Software Parallax Software was a game developer who created the Descent series. Parallax Software was started by Matt Toschlog and Mike Kulas. After the release of Descent II, the company was split in two to form Volition, Inc. Corp., the Volition team is best known for the top-selling, critically acclaimed "Descent" and "Freespace" PC game franchises. Led by industry veteran Mike Kulas, who will continue to manage Volition as its president, Volition will contribute significantly to THQ's PlayStation 2, X-Box and PC product lines.
Volition is currently working with THQ to develop "Summoner" and "Red Faction Red Faction is a first-person shooter video game that was released in 2001 for the PlayStation 2, Microsoft Windows, and Macintosh by THQ and Volition. A version for the Nokia N-Gage was developed by Monkeystone Games. " for release on both the PlayStation 2 Computer Entertainment System and PC. THQ will release "Summoner" for PlayStation 2 in fall 2000 and PC in the first quarter of 2001. "Red Faction" for PlayStation 2 and PC is scheduled for release in 2001.
In connection with this transaction, THQ subsequently will acquire Volition's matching service, Parallax parallax (pâr`əlăks), any alteration in the relative apparent positions of objects produced by a shift in the position of the observer. In astronomy the term is used for several techniques for determining distance. Online, which offers support for Volition's current and future games.
"Volition is a strategic addition to THQ's business," stated Brian Farrell, president and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. , THQ. "Their technological capability and creative talent have brought about some of the most original, innovative gameplay in the industry. We look forward to the PlayStation 2 and PC launches of `Summoner' and `Red Faction' and many more contributions from the Volition teams."
"We have worked as a developer with THQ for a long time and we know this will be a perfect fit," said Michael Kulas, president, Volition. "THQ has great people who understand the creative process, and we look forward to developing many great games with them."
Volition Inc., which includes many of the founders of Parallax Software Corp., develops cutting-edge original content for major console systems and PC. For more information on Volition and games currently in development by Volition, visit www.volition-inc.com.
THQ Inc. develops, publishes and distributes interactive entertainment software for a variety of hardware platforms including PC CD-ROM CD-ROM: see compact disc.
in full compact disc read-only memory
Type of computer storage medium that is read optically (e.g., by a laser). , and those manufactured by Sega, Microsoft, Nintendo and Sony. The THQ Web site is located at www.thq.com.
The statements contained in this release that are not historical facts may be deemed to constitute forward-looking statements. Actual results may differ materially from those projected in such statements due to a number of risks and uncertainties, including, without limitation, demand and competition for the company's products and other risks and uncertainties detailed in the company's filings with the Securities and Exchange Commission, and as more specifically set forth in the company's report on Form 8-K Form 8-K
The form required by the SEC when a publicly held company incurs any event that might affect its financial situation or the share value of its stock.
See 8-K. , filed on March 21, 2000.