Gray Matter studio Wizarbox declares bankruptcy

Paris studio Wizarbox filed for the French equivalent of Chapter 11 bankruptcy in December, new reports have confirmed.

Develop reports that Wizarbox was working on Captain Morgane and the Golden Turtle for multiple formats when it filed for what Pockett.net has revealed as a "en redressement judiciaire" - or 'in receivership' - the French version of America's Chapter 11 bankruptcy, which THQ filed for last month.

Develop adds that studio head Fabien Bihou - who formed the company in 2003 - went on record in 2010 to discuss Wizarbox's difficulty in finding new contracts, and stated that the industry's economic state proved to be uncompromising for small studios. Bihou added that moving to the lucrative mobile arena - at the time - would have been too risky.

We'll have more on Wizarbox's situation as it happens.