Video game peripheral maker Mad Catz may soon face closure if its income does not significantly increase with the sales of Rock Band 4 equipment.
This last June, Mad Catz warned investors that it failed to meet its monthly quota that had been implanted as a failsafe by Wells Fargo.
Wells Fargo, Mad Catz’ credit lender, waived there violation to a new agreement that ends July 31st, 2016.
Mad Catz stated it will need “significant contributions from anticipated sales of products related to the Rock Band 4 video game.” in order to stay afloat.
Last financial year, in March 2015, Mad Catz’ net income was only $4.7 Million. Mad Catz has been losing money for three straight years since 2011. They are most well known for the creation of Rock Band instruments, as well as fight sticks for Street Fighter IV and the upcoming Street Fighter V.