Originally posted on Gigaom:
Cloud gaming company OnLive provided some additional details on its abrupt sale of assets Sunday night, including some information about its first new investor. The company, which let go of all of its employees Friday, only to give less than half of them offers for a job with its new owner, said that an affiliate with original investor Lauder Partners is the first investor in its new corporate entity. It also confirmed that all shareholders, including investors, employees and management, got wiped out.
A release sent out to reporters Sunday night explained the asset sale this way:
“OnLive, Inc.’s board of directors, faced with difficult financial decisions for OnLive, Inc., determined that the best course of action was a restructuring under an “Assignment for the Benefit of Creditors.” The assignee of the company’s assets then sold all of OnLive, Inc.’s assets (including its technology, intellectual property, etc.) to the new…
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