Confirming recent rumour and speculation on Crytek's reported financial woes, publisher Deep Silver has announced its acquisition of the rights to the Homefront franchise, and revealed that it has established a new studio, Dambuster Studios, to continue development of Homefront: The Revolution.

“We are thrilled to see another great IP joining the Deep Silver universe,” says Dr. Klemens Kundratitz. “We strongly believe in the potential of Homefront: The Revolution and trust in the new team to continue the path we have been walking in the last years.”

Dambuster Studios is located in Nottingham, the same city as Crytek UK, and Crytek has confirmed that members of the Homefront: The Revolution team will be migrating to the new owners:

On completion of the proposed acquisition, the Homefront team from Crytek's Nottingham studio would transfer their talents to Koch Media in compliance with English law and continue their hard work on upcoming shooter, "Homefront: The Revolution". Both parties hope to finalize and implement a deal soon.

In other Crytek news, the company also announced the transition of its Austin, Texas-based studio from game development to CryEngine support, moving development of the game HUNT: Horrors of the Gilded Age back to its German headquarters and noting that any staff no longer relevant to Austin's new duties will be "invited to apply for new positions at Crytek in Germany".

The announcement clarifies that Crytek's studios in Budapest, Istanbul, Kiev and Sofia are unaffected by the changes, but that Shanghai and Seoul are under review for "closer collaboration", whatever that might entail.

Deep Silver has yet to confirm if Homefront: The Revolution will still be on track for its previously announced 2015 launch window for PC, Xbox One and PlayStation 4.