Interplay Strikes Back

Yesterday we reported that Titus had signed a deal with fellow French media group Vivendi Universal which would see VUIP distributing Interplay's titles in the USA. As it turns out this wasn't the whole story - contrary to what we had read on CBS and Reuters, the deal was actually signed by Interplay itself, not Titus. Indeed, despite the fact that Titus now owns over 51% of Interplay's shares, they won't be able to take full control of the company until they can elect themselves as the new board of directors at Interplay's next AGM. Which leaves the ailing American publisher a few weeks to make life as difficult for the French as possible.

As a result of this Interplay decided to dump Titus in favour of Vivendi, who will now handle distribution of the firm's games in the USA. The point here is that even when Titus take over Interplay at the AGM next month, they will probably still be forced to honour the Vivendi contract, which will cause a lot of headaches for them. Titus is trying to put a brave face on it though, hence the quotes we reported on yesterday about saving $10m a year by sacking Interplay's marketing and distribution staff and letting Vivendi handle the games.

Obviously not content with this spoiling move, our sources are now reporting that Interplay has filed to say that its shareholders want the company wound up! This could mean that when Titus gets hold of the reins in September the company will already be in Chapter 11 receivership. Somebody at Interplay obviously doesn't like the fox...