The North American arm of Atari filed for bankruptcy in January 2013 and hoped to separate itself from its French parent company. It looks like the company has finally gotten approval to do just that. According to the Wall Street Journal, a US bankruptcy court judge has approved Atari's plan to escape bankruptcy. The company will have to pay back the entire $3.8 million it owes bankruptcy lender Alden Global Capital, while an additional $1.75 million will be paid to unsecured creditors (who unanimously backed the plan) over three years following its exit from bankruptcy.
After entering into bankruptcy, Atari US tried to sell off its IP as part of the complex legal detachment from its parent. The company initially priced its total IP assets at $22 million, with Rollercoaster Tycoon offered at $3.5 million and Test Drive at $1.5 million.
In July, it was revealed that Atari had managed to sell off some of its major IPs including Master of Orion and Total Annihilation franchises to Wargaming (World Of Tanks makers), and the Battlezone franchise to Rebellion.