Atlus' parent company faces bankruptcy

Index Holdings to undergo "civil rehabilitation proceedings."

by

Index Holdings, the parent company of Japanese game developer Atlus (Shin Megami Tensei series), looks like it's in financial trouble.

What will Atlus' fate be after the restructuring?

According to a CNET Japan report (via Neogaf), the company will be undergoing "civil rehabilitation proceedings" via the Tokyo District Court. After the proceedings, the company will then undergo a corporate restructuring. The total liability of the company is about 24.5 billion yen ($249 million) as of May 31.

Civil rehabilitation is the Japanese equivalent of bankruptcy proceedings, and is usually the step taken before a more serious corporate failure.

Previously, the company was under investigation for questionable business practices, such as fabricating business transactions to maximize the corporate balance sheet. Atlus' previous works include Catherine, the Shin Megami Tensei: Persona titles, and the Etrian Odyssey series. For more information on Atlus' latest title, check out GameSpot's coverage on Shin Megami Tensei IV.

Discussion

127 comments
twztid13
twztid13

Atlus makes games for a portion of gamers that not many other publishers/developers do. It would be very sad if they ceased to exist, IMHO. I hope someone gets the opportunity to buy their properties, or Index Holdings would sell off/seperate Atlus so they could rise or fall on their own merits. Good luck Atlus!!

csward
csward

I wondered how Atlus could keep churning out so many crap RPGs. For every Persona there was two or three crappy games.

Now for X-Seed Games and NIS America.

91210user
91210user

Good! I don't think boring dungeons and the SMT name slapped on to them helped their situation. I'm glad Atlus is still getting this kind of bad press!

Romangelo
Romangelo

LOL I hope this is the end of Shit Megami Tensei, the series of emos.

DeadlyNinjas128
DeadlyNinjas128

Sony... PLEASE buy them!! Atlus is perfect for Sony.

Derock161
Derock161

I really hope Nintendo buys them.

Gargus
Gargus

I hope this doesn't effect Atlus themselves. I love that company.

servb0ts
servb0ts

Nintendo can rescue Atlus just like Bayonette 2.

kiramasaki
kiramasaki

I have always been a major supporter of Atlus. But honestly even if this did effect them I dont care. My favorite game from them, was not even their own game. They were merely the distributor for Disgaea. And now all the release are handheld titles. Other than a few garbage titles like Cursed Crusade, the only noteworthy titles on current gen that they released were Catherine and Persona Arena. I mean they just released a mainline entry into the Shin Megami franchise on the 3ds instead of a console. They are a shell of the company who released such titles as Stella Deus, Persona 3/4, Disgaea, Nocturne, FES, etc on the ps2. 


Honestly with NIS around, and them actually primarily developing on consoles, and putting out quality titles like Atelier in addition the Disgaea series, I cant hold Atlus in the same regard as I once did. Sure they are still better than Square Enix, but by how much who knows.

VarietyMage
VarietyMage

And this is why game companies should not become part of larger companies.

Burin077
Burin077

Snowboard Kids, anyone?

I miss the good ol' days of kooky fun like that.

- B

hatieshorrer
hatieshorrer

This is terrible the company that made JRPGs cool in the 2000s could go under because of its parent company and not Atlus doing poorly.

DarkE0n
DarkE0n

Just as long as Atlus remains afloat and unchanged. That's all I ask. The video game world needs developers/publishers like Atlus.

leeko_link
leeko_link

So if they go under then Atlus should be best left with Nintendo. I really want to see Shin Megami Tensei and Persona representatives in the next Super Smash Bros. game for 3DS and Wii U. Considering Atlus is working with Nintendo for Shin Megami Tensei X Fire Emblem, it would be great to have Nintendo add Atlus to their team of second party.

jsmoke03
jsmoke03

well somebody better step in and save atlus...not square enix or an american company...keep it japanese pls

joke_man
joke_man

There seems to be a great deal of misinformed assumptions...

Let's be clear: Index is the one with charges of fraud being levied against it and that is filing BK.  Atlas is merely a subsidiary which is a completely different entity.  The bankruptcy only indirectly affects Atlas and, in all likeliness, can only help or keep Atlas exactly the same.  The "worst" thing is that Index sells its interest in Atlus to assist in paying creditors through its BK Plan.  And, that's not necessarily a bad thing and has the potential to be good--particularly if it went independent. 

Either way, Atlus isn't in BK, it's not be liquidated (and won't be), etc.  They're here to stay...The parent company?  Who cares...

Bregzeinkul
Bregzeinkul

So who will buy out Atlus, EA or Activision? =)

Orga777
Orga777

Not too worried. Someone will help out Atlus. Their IPs are too strong to be ignored. And don't worry guys, even if they are bought out, I guarantee that they will have full creative control over their games like they always have. It isn't like EA will buy them or anything like that.

silvergol
silvergol

Atlus gonna die or bought by others companies? 

No,NO,NO!.

BiohazardXTREME
BiohazardXTREME

I recall a time when Squaresoft faced bankrupcy and Sony bailed them out and got 5 exclusive Final Fantasy games from it. Sony should outright buy out Atlus now and make it one of their first party developers. That'd be all kinds of awesome.

fend_oblivion
fend_oblivion

A very scary thought just hit me : what if Square Enix ended up buying Atlus like Microsoft  bought Rare?


WeWerePirates
WeWerePirates

@91210user Dungeon crawling is pretty much what SMT games have been about from the get go. SMT games where that isn't the main focus are the exceptions, not the norm.

Dungeon crawlers aren't for everyone but its kind of daft to claim SMT was "slapped" onto crawlers.

bgna8980
bgna8980

@Romangelo As much as I love Final Fantasy, it has a lot more emo characters. Shin Megami Tensei games like Persona are more happy-go-lucky and light-hearted. It's not that the characters are emo in the other SMT games, it's just they have darker stories and resolves.

silvergol
silvergol

@Burin077 Cursed IGN! Did destroy all Snowboard kids 1 and  2 by say bullshit about these games!.

leviathanwing
leviathanwing

@leeko_link sony are a better choice and they actually let their devs make more than 1 or 2 titles.

91210user
91210user

@joke_man could you stop with the 'Atlus is another company' bull? We know!  Reading your comment, you sound like you are brainwashed and are part of some cult! 

To everyone else! That's an effect Atlus has on gamers folks! It's almost like the SMT games have brainwashed you with comments like those!

joke_man
joke_man

@Orga777 

It's not Atlus that needs help...Although, Index could sell their interest in Atlus to generate money to pay off its creditors...

joke_man
joke_man

@silvergol 

Ya, it's not Atlus that filed for BK or has charges of fraud levied against it...So, probably not going to die...

This would be like you're dad dying...

saosebastiao
saosebastiao

@fend_oblivion There would be a lot more kissing and a lot more sexually confused people on Shin Megami  and Persona Games. With some annoying teen chick on the cast.

Oh and most of them would have Bieber-like hairs, for no reason whatsoever.

91210user
91210user

@WeWerePirates@91210userAre you telling me you haven't played Persona 4, the Raidou Kuzunoha series or even Devil Summoner, they have really nice graphics and half bad!  I can easily recommend any of those games and they aren't that boring!

Persona 4 had dungeons but they were that lazy or boring like the so called Persona 1 remake. Strange Journey wasn't that bad!

Just half of the current other games are clearly slapped on with the SMT name and aren't even as done as the other titles I just mentioned!


joke_man
joke_man

@91210user @joke_man 

The hell kind of ad hominem attack is this???  Clearing up obvious misinformation, partially due to the poorly written article and your seemingly below average IQ, doesn't imply anything you're implying...

Sadly, you rely on personal attacks rather than an actual conversation on the effects of Atlus...Enjoy you're weekend, toon.  

91210user
91210user

@bgna8980@91210user 

Why on earth did you reply then with 'Dungeon crawling is pretty much what SMT games have been about from the get go.' and then you return with your latest reply! 

You just totally contradicted what you wrote the last time. Are you saying that Persona 4 isn't part of the SMT series?


 

bgna8980
bgna8980

@91210user Dungeon Crawling is only 1/3 of Persona 4. The other 2/3 is where you build up social links and characters. There are so many events and things to do in the game. The true charm of the game lies in the sum of its parts, where character development and story are structured. The game may not be everyone, but it is currently the highest rated vita game, it has a lot to offer and innovated on an already great game.  If you haven't played the game or just scratched the surface then you're missing out. The dungeon crawling can get tedious, but the fusing and creating of new personas have never been better. 

91210user
91210user

@WeWerePirates @91210user 

Not really... I'm not going to deny that all company do take the brand name and put it onto a game or project, all companies are doing it. It's relevant because their parent company can often fund the games and take control of the project and do whatever they like and it really does show. It's not really pleasant to look at when playing the game.

Atlus gave their name to the MMO Imagine and Atlus aren't helpping them anyone and also Atlus Online, which was run by some folks in America, another asset that simply uses the Atlus name which now as been taken over because it's doesn't seem to want to operatable. 

... and how is best on if I liked the game or not?  It's nothing to do with if I like the game or not. I've seen and played games that I've liked made by companies who go under and don't make money despite making those good games!


WeWerePirates
WeWerePirates

@91210user "Are you telling me you haven't played Persona 4, the Raidou Kuzunoha series or even Devil Summoner,"

First I have no idea where you are getting that impression. Second the Raidou Kuzunoha games are Devil Summoner 3 and 4, not a separate series.

I'm well aware of all the games you've mentioned, I own all of them, even those that I needed to import and on top of that around a dozen more SMT games. Though I have never got around to playing some.

And no, I'm not saying all SMT titles are boring. I'm saying the suggestion that the SMT title is randomly "slapped" on is nonsense. It seems your criteria for being slapped on is whether or not you like the game.

The only real case to be made of it being attached wrongly are the Persona games. They have never been released under the SMT banner in Japan, only in the West. Personally I don't even agree with that.

On top of that it's irrelevant to the current problem. The holding company that owns Atlus is in trouble. As best as I know Atlus itself is profitable.

91210user
91210user

@joke_man @91210user Why you come back and reply for? I'm serious what I posted. I've noted that Atlus of Japan made really good video games and for some strange reason, the US players are getting talked down by Atlus of America. What you end up with is comments like your first comment and you log onto website preaching these idea talking articles down with stuff like you just posted! 

I play Atlus games too but I don't go around preaching how business ethics work and talk down articles from website to website. 

They've attempted to brainwash me into saying the crap you post for advertising sake to make them look good! Stop posting if you have something terrible to say about the article!

joke_man
joke_man

@91210user @joke_man 

I don't need to defend anything, because nothing you said was relevant to the article.  You used ad hominem attacks and made mere uninformed opinion statements as facts.  You had nothing of relevance to say to my comment, nor did you actually address the contents.  

Now, as I said, Enjoy your weekend, muppet...And, take your own advice, "pick up the ball and go home."

Feel free to have the last word...Clearly your ego needs it as your incapable of independent and reasonable thought and would rather spread spite, ignorance, and use logical fallacies to communicate...

91210user
91210user

@joke_man @91210user 

Only a cult member would posted what you just posted!

It's not an 'attack' as you put it! You're not going to defend your comments? Ok fine, pick up the ball and go home then!! 

I think the article is okay to say at least as it doesn't waste time explaining stuff that the majority of people already know! I see nothing wrong with this article!