Clover Games Declares Bankruptcy After Massive Debt Crunch

The South Korean developer Clover Games filed for bankruptcy on the 9th, ending all game services. An audit released a few days later exposed the numbers that forced this decision. Clover’s chief, Yoon Sung-guk, poured more than ₩3 billion of his own money into the company over three years, but that effort could not stop cash from running out. The games “Lord of Heroes, ” “HeavenHells, ” and “Ayakashi Rise” will close their servers on May 9 at 11:00 p. m. , after in‑app purchases were shut down on the 6th to reduce player loss. The audit report from Donghyun Accounting Corporation issued a “disclaimer of opinion” for the 2025 financial statements. The main issue was uncertainty about whether the company could continue operating.At year‑end, assets were only ₩5. 17 billion while liabilities hit ₩52. 66 billion, leaving equity at a negative ₩47. 48 billion. Short‑term debts exceeded current assets by ₩26. 89 billion, meaning the firm was insolvent on a day‑to‑day basis. Revenue fell from ₩13. 03 billion in 2024 to ₩7. 54 billion in 2025, while expenses rose from ₩17. 8 billion to ₩18. 76 billion, creating an operating loss of ₩11. 22 billion and a net loss of ₩12. 31 billion. Cash from operations was negative ₩10. 19 billion, showing liquidity had been fully depleted. Debt structure worsened too: ₩20. 02 billion of redeemable convertible preference shares and ₩16. 34 billion in derivative liabilities added to the burden. The auditor noted that Clover’s survival hinged on a new title launched in February 2026, but no reliable evidence existed to adjust related assets and liabilities. With that hope fading, the company entered final bankruptcy proceedings.