Embracer’s Gothic and Elex studio Piranha Bytes is reportedly facing closure

Piranha Bytes is reportedly facing closure as part of Embracer Group’s ongoing restructuring efforts.

According to local media reports (via RPG Site), the German studio behind the Gothic, Risen and Elex series will close its doors unless it can find a new owner or publishing publisher.

THQ Nordic, the Embracer operating group that houses the studio, has reportedly said it can keep both the Piranha Bytes name and the rights to the science fantasy-themed RPG series Elex if it can find a way to continue.

Piranha Bytes addressed reports about the studio’s potential closure in a message published on X on Monday.

“Dear fans, yes, it’s true. We, Piranha Bytes, are in a difficult situation,” it wrote. “There are a lot of news about us circulating right now and this is our answer: Don’t write us off yet!

“We do everything to continue creating worlds in which you can lose yourself. This is what our hearts have always beaten for. We are convinced that we will succeed. We are creative minds and there’s no lack of ideas! We stick together, no matter what.

“Now, we are focussing on this goal with all our strength and do whatever it takes to find a partner for this project. As soon as there are any news, we will share them with you. Thank you very much for your continuous support.”

Founded in 1997, Piranha Bytes had approximately 31 full-time employees when it was acquired by Embracer in May 2019.

Embracer announced last June that it was implementing a restructuring programme which would involve the closure of studios, layoffs and the cancellation of some projects.

It has since shut studios like Saints Row developer Volition, Campfire Cabal and Free Radical Design, while others have reportedly been put up for sale, such as Borderlands maker Gearbox.

During its second financial quarter ending in September 2023, the company made more than 900 layoffs, with cuts impacting such studios asCrystal Dynamics, Beamdog, Zen Studios and Fishlabs.

Last month Embracer made layoffs at New World