Publisher Empire Interactive has entered administration following weeks of speculation.

In a statement issued to Edge, administrator KPMG confirmed that the multiplatform publisher has ceased trading and 49 staff have been made redundant.

Six staff have been retained to assist KPMG with the wind down of the Muswell Hill, London-based business.

Empire's intellectual property rights have been sold to US-based New World IP.

"Despite the fact that the gaming industry has been relatively unscathed by the current recession, trading losses, development spend and a delay in recent new product approval had a fatal impact on Empire's cash flow,” said Ian Corfield, restructuring director and administrator from KPMG.

“We are not looking to sell the business as a going concern and are effecting an orderly wind-down of Empire's operations," he added.