Oh dear
Source: corporate.nacongaming.com (pdf) It was expected given last week news but this still sucks no matter what we think of Nacon (and lots to think about how they treat their productions and studios). To give you an idea they own: Cyanide Eko Software Kylotonn Spiders Daedalic Entertainment...
www.resetera.com
That was expected after the news on Friday.
Note that this is insolvency NOT liquidation (though liquidation sometimes follows when restructuring isn't agreed with creditors). It is basically the same process in the UK.
It is called "Chapter 8" in the US.
It protects the company and allows time for Nacon to try to renegotiate with creditors.
Nacon will try to get an agreement for restructuring of the debt and that bond in particular. If they can't, then the creditors will take control and decide what they want to do.
If the court and the creditors think they would be "putting good money after bad" i.e. throwing more money away for nothing, they would go for liquidation.
More commonly, the creditors will accept either delayed payment of the bond, and/or a write off of some of the bond amount, in exchange for some amount of minority or majority control of the company.
The same thing happened with MGM in the US where MGM had to get permission from their creditors for every single penny budgeted for Skyfall, which then went on to make over $1 billion and basically saved the company until it was bought by Amazon.
I suspect TDU funding will be cut off as soon as legally possible to do so and the game is probably going to go dead with the servers switched off, as it still doesn't have any offline save. The creditors will probably see that title as very much throwing money away.
WRC 27 COULD happen if the creditors think it will be profitable enough - after all, the creditors want to get as much of their money back as possible. The same goes for any other titles under development. Anything else not seen as a "good bet" will be culled.
If there are any titles already virtually completed and due for imminent release, the costs are already mostly spent, so it would normally make sense to get those released to generate revenue.