Empire Interactive has gone into administration, becoming the games industry's latest victim of the recession.
MCV can reveal that all staff at the firm's London offices were sent home this week, and that the company is in the process of making all employees redundant.
Russian distributor and publisher Noviy Disk seemed a likely White Knight last month, but the two firms could not finalise terms.
Administrator KPMG was subsequently called in two weeks ago to find a buyer. MCV understands it received two expressions of interest, but these never grew into firm offers.
KPMG is expected to release an official announcement on Monday.
Empire published titles in the UK incuding Jackass and FlatOut.
The past 12 months has seen Pinnacle, EUK, Woolworths and Zavvi suffer the same fate.