Embracer-owned studio Piranha Bytes acknowledges “difficult situation” as it faces potential closure

The Embracer-owned studio Piranha Bytes, developer of the Gothic, Risen and Elex games, has acknowledged it's in “a difficult situation” as it faces potential closure.

An announcement from the studio on

It's unclear what this next project will be, but this statement suggests it won't be backed by Embracer.

Rumors had arisen about the future of Piranha Bytes, after the German studio's homepage reverted to just a logo and address and its next game was removed from the German government's funding page, as outlined by PC Gamer.

German gaming site Gamestar also reported the studio was facing closure.

A representative for the studio confirmed to PC Gamer that it should be unable to find a new partner for its next game or continue as an independent studio, it will be shut down.

“We are convinced that we will succeed,” reads the Piranha Bytes statement. “We are creative minds and there's no lack of ideas! We stick together, no matter what.”

Piranha Bytes was founded back in 1997 and became known for its Gothic, Risen and Elex games.

In 2019 the studio was acquired by THQ Nordic, part of Embracer Group.

As Embracer Group continues with its “comprehensive restructuring program” to close studios and cut jobs, the likes of Free Radical, Beamdog, 3D Realms, Slipgate Ironworks, Fishlabs, New World Interactive, and the Gearbox-owned Lost Boys Interactive are among those impacted .