Bandai Namco Holdings announced a formal board resolution to dissolve and liquidate its consolidated subsidiary Reflector Entertainment. The decision closes the Montreal-based development studio, affecting 74 staff members following extended evaluations of operating profitability. Corporate leadership stated: "After weighing future business plans and required additional capital, the company decided to liquidate the business."
Reflector Entertainment was acquired in 2020 to expand western software development following the debut of the Unknown 9 franchise. Commercial performance for the studio's initial flagship title fell short of corporate benchmarks, triggering successive operational downsizing. Evaluations of an unannounced project in pre-production concluded that continued multi-year funding could not be economically justified.
Bandai Namco expects to record an extraordinary loss of approximately €21 million across consolidated financial statements beginning in the third quarter. The company confirmed that legal liquidation proceedings will execute under applicable Canadian corporate statutory guidelines. Executive management reaffirmed plans to direct development budgets toward core domestic intellectual properties and established franchises.
Local game development advocacy networks in Quebec mobilized to assist departing studio personnel with regional employment placements.
