Because of the windfall license sale, Interplay can boast that sales are up 2,431 percent over the same period in 2006, with half-year sales up 1,708 percent year over year as well.
As previously reported, Interplay closed the sale of the Fallout rights in April for $5,750,000, and secured an exclusive and specific license itself to use the IP internally for the $75 million Fallout MMO it noted in SEC filings last December.
Said Interplay chairman and CEO Herve Caen, “I am pleased with the progress the company has made, particularly with our debt load, which has improved from $59 million in December 2001 to less than $3 million today. With that difficult period behind us, we are focused on securing funding for development of a Massively Multiplayer Online Game (MMOG) based on the popular Fallout franchise. Along with our strategy of leveraging our existing portfolio of intellectual gaming properties, Fallout Online will play a key role in the future of Interplay.”
Why would an investor pump money into this project. Lets look at the facts and trying to simulate having an investor’s eye.
1. IPLY does not any staff to create any proof of concepts. No drawings of what could be.
2. IPLY does not have ANY of the original staff who created the product this new venture is based upon.
3. The current CEO of IPLY is asking for substantial investment in a product he himself has no first hand experience in.
4. The current CEO of IPLY has no first hand experience in the venture (herve hasn’t played any games), and so had limited knowledge of target audience and market share.
5. The current CEO of IPLY has a track record of poor product selection and placement.
6. The current CEO of IPLY has a long track record of breaking deals with other corporations.
7. The current CEO of IPLY has a long track record of corporate funds mismanagement.
8. The current CEO of IPLY has no first hand experience with the complexity of the venture being offered.
9. The current CEO of IPLY has limited credibility within the both US and French game markets in regard to employee relations to over come several of these issues.
Did I miss anything?
Aside from holding a fire sale and declaring debts null because he managed to hide from the debtors, what has Herve done that indicates he and his venture idea bankable? What does Herve bring to the table?