Annapurna Pictures, the film company which owns indie games publisher Annapurna Interactive, is reportedly exploring bankruptcy protection.
The firm was founded in 2011 by Megan Ellison and is responsible for co-producing movies including Detroit, Phantom Thread and Vice.
Its video game publishing subsidiary, Annapurna Interactive, has released a host of critically acclaimed titles including What Remains of Edith Finch, Florence and Outer Wilds. It’s also due to publish time loop thriller 12 Minutes.
But according to The Hollywood Reporter, Annapurna has run into serious financial difficulties following a string of underperforming box office releases, including The Sisters Brothers and Destroyer.
“The Ellison family is in negotiations to restructure their deals with the banks. They remain in full support of the company and are dedicated to Annapurna’s future,” a spokesperson said.
In a note distrusted to staff after the publication of the story, and leaked to The Hollywood Reporter, Ellison also attempted to play down concerns about Annapurna’s future.
“Restructuring deals with financial institutions is not uncommon, yet the process is usually handled without a spotlight on it,” it read.
“Regardless of whatever comes out in the press, the truth is that we are well on our continued path towards success. There will always be speculation, misinformation and personal jabs in the press – that’s part of the business.
“But know, none of that matters to me. What does is your sense of security and protecting the special community and culture at Annapurna. I believe in what we make and have no intention of stopping any time soon.
“We have a lot of exciting things on the horizon and I have no doubt all of our hard work will continue to show Annapurna’s unique and powerful place in this industry.”
VGC has contacted Annapurna Interactive for additional comment.