Starbreeze CEO departs as Swedish developer files for reconstruction

Starbreeze CEO departs as Swedish developer files for reconstruction

More bad news from Swedish game maker Starbreeze as the studio files for reconstruction.

Announced via its website, the company has gone into administration due to a lack of liquid capital. The firm is currently in the process of trying to figure out a long-term financial plan.

This follows Overkill's The Walking Dead not meeting commercial targets with losses at the firm for Q3 2018 tripling to $11.3m.

In the wake of that, at the end of November, the company was compelled to try and cut costs where possible.

Staff are still going to be paid during this reconstruction period. CEO Bo Andersson has left Starbreeze, in addition to vacating his board seat. Kristofer Arwin is no longer on the board of directors, too.

This is the second exec departure in the last few months, with CFO Sebastian Ahlskog leaving in October

This is the second time a company working on The Walking Dead IP has fallen into hard times financially following Telltale's painful and incredibly high-profile implosion in September

PCGamesInsider Contributing Editor

Alex Calvin is a freelance journalist who writes about the business of games. He started out at UK trade paper MCV in 2013 and left as deputy editor over three years later. In June 2017, he joined Steel Media as the editor for new site In October 2019 he left this full-time position at the company but still contributes to the site on a daily basis. He has also written for, VGC, Games London, The Observer/Guardian and Esquire UK.