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Manchester studio Dark Energy Digital is days away from entering administration, according to a report published on GamesIndustry.biz.
Executives have told studio staff that the company will enter administration next week, according to unidentified sources. Redundancy notices have been issued, with some staff "concerned by outstanding payments".
The matter could not be verified by Develop; Dark Energy Digital is not responding to calls for comment. The firm is late on filing important financial data to Companies House. An administrator has not yet been selected.
Dark Energy Digital, formed from the ashes of Blade Interactive in 2008, suffered with poor demand for its XBLA game Hydrophobia.
The group was co-founded by Peter and Deborah Jones.
