THQ has kindly signed the rights to Devil’s Third back to its creator Valhalla Game Studios. Chatting with Eurogamer.net, the troubled publisher confirmed the news: “All of the game's IP rights have been returned to [founder Tomonobu] Itagaki and the Valhalla team.”

The publisher revealed last month that it would not publish Devil’s Third. Despite showing continued interest in the product, the company felt that it could not make a big enough return on the title. Considering its ominous financial status, it was probably a good move.

Still, former Team Ninja man Itagaki was full of praise for the publisher. Speaking with Famitsu magazine, he said: “Most important thing is gamers’ happiness. And people in business side like distributers, press and developers. It’s a happy three. So we can’t thank THQ enough.”

It’s unclear who will now publish Devil’s Third, but the game is apparently in its “final stages” of development.

[via eurogamer.net]