Mad Catz files for bankruptcy

Chances are at some point and time, you probably purchased a Mad Catz peripheral, as the company made everything from controllers, Battery Packs, Memory Cards, Headsets, and Fight Sticks. If you have been following the company for some time, you would also know what they have also been experiencing severe financial problems, going as far to cutting 40% of their work force just last year.

Sadly over the weekend, Mad Catz Board of Directors released a press statement stating that they have voluntarily filed for bankruptcy. PricewaterhouseCoopers Inc has been appointed as the trustee of the company’s estate and will now oversee the liquidation of Mad Catz’ assets to pay off all of the debt it has incurred. Mad Catz also petitioned chapter 7 bankruptcy in the United States to initiate an orderly liquidation of its assets.

“Regrettably and notwithstanding that for a significant amount of time the Company has been actively pursuing its strategic alternatives, including various near-term financing alternatives such as bank financing and equity infusions, as well as potential sales of certain assets of the Company or a sale of the Company in its entirety, the Company has been unable to find a satisfactory solution to its cash liquidity problems. The Board of Directors and management would like to acknowledge the outstanding efforts of the Company’s employees in support of its business, especially during the time that the Company faced financial difficulties. The Company would also like to thank the vendors and professional service providers who have supported the Company’s efforts during this time.” Said President and Chief Executive Officer, Karen McGinnis in the press release.

We wish everyone who was employed at Mad Catz the best of luck with finding new jobs.