RiMEandGYLTdeveloper Tequila Works announced on Tuesday layoffs have taken place at the company. It has also cancelled an unannounced game and will be “restructuring the studio to concentrate on the development of only one game.”

“These changes will have an impact to a small number of roles at the studio,” said Tequila Works onLinkedIn. “This is an incredibly difficult time, and our focus is to provide support and guidance to those affected.”

RiME developer Tequila Works has layoffs

Tequila Works already has a storied history in the indie scene since it arrived in 2009.RiMEis one of its most acclaimed titles with an80 Metacriticscore. Its last projectSong of Nunuwas a collaborative project with theLeague of Legendslicense starring a boy and his yeti friend in an arctic landscape.

In 2022, Tencent became a majority stakeholder in the Spanish studio. “We are delighted to ally with a partner that allows us to make Tequila Works a stronger studio with access to all the resources required to produce titles of the highest quality, all made with the care and passion our beloved fans know us for as well as the opportunity of bringing these projects to a wider audience,” said Tequila Works Chairwoman Luz Sancho at the time in anews release.

Song of Nunu League of Legends

Tencent also holds stakes inEpic Games, Bluehole, andUbisoft. It also acquiredBack 4 Blooddeveloper Turtle Rock Studios in 2021.

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