EG7 will shut down Toadman Interactive and carry out layoffs at Piranha Games
The Swedish holding company Enad Global 7 (EG7) continues to cut back on its teams. The new layoffs will affect two of its subsidiary studios: Toadman Interactive and Piranha Games.
EvilVEvil — left, MechWarrior 5: Clans — right
Closure of Toadman Interactive
- Toadman Interactive is the studio with which EG7’s history began. It was founded in 2013 in Stockholm and initially helped other companies develop games. Over time, it grew into a gaming holding company, and in 2020, EG7 was established as the parent company to manage it. At that point, a significant part of the business was transferred to EG7, and Toadman Interactive returned to being a mid-sized studio. Its portfolio includes games such as Immortal: Unchained, Bloodsports.TV, and EvilVEvil.
- EG7 explained the closure of Toadman Interactive by citing the crisis in the gaming industry and the studio’s difficulties in finding new partners for collaborative development.
- According to EG7, the holding tried to improve the situation at the studio but without success. For instance, layoffs were conducted last summer to reduce costs.
- At the time of closure, Toadman Interactive had 69 full-time and freelance employees. Not all will lose their jobs. Forty-two people involved in projects for Cold Iron Studios and Daybreak Game Company will retain their positions at least until the completion of contract work.
- EG7 expects that closing the studio will reduce the holding's annual expenses by 46.5 million Swedish kronor (4.17 million dollars).
Layoffs at Piranha Games
- Piranha Games is a Canadian studio founded in 2000, known for developing the latest installments of the MechWarrior series.
- EG7 decided to optimize Piranha Games by laying off 38 employees. According to information on the holding’s website, the studio currently employs 106 people.
- The reason for this optimization is the underwhelming release of MechWarrior 5: Clans in October 2024. The game failed to meet the necessary sales targets.
- It is expected that the layoffs at Piranha Games will save the holding 25.8 million Swedish kronor (2.3 million dollars) by the end of the year.
