Animation Studio Cloud Hearts Files for Bankruptcy

According to information verified through the commercial registry of Japan, the animation studio Cloud Hearts (株式会社クラウドハーツ) commenced bankruptcy proceedings on December 18, 2024. The studio is best known for producing works like Tawawa on Monday 2, The Iceblade Sorcerer Shall Rule the World, and co-producing series like Whisper Me a Love Song.

Yokohama Animation Lab (hereinafter "YAL") producer Satoshi Nakatani (中谷諭史) served as president and CEO. NBCUniversal Entertainment Japan producer Keisuke Fukunaga (福永佳祐), animator Tarou Ikegami (池上太郎), YAL president Yuuma Ooue (大上裕真), and NBCUniversal Entertainment Japan producer Shinsaku Tanaka (田中信作) all served on the board of directors for varying tenures.

Cloud Hearts was officially founded as an animation studio and legal entity on June 1, 2021, and headquartered in the Igusa district of Suginami, Tokyo. The studio itself was previously a division of YAL led by Nakatani sometimes credited as "YAL/CHst" (Yokohama Animation Lab/Cloud Hearts studio).

Leading up to the creation of Cloud Hearts as a separate company, Nakatani served as the animation producer for Lapis Re:Lights and Magatsu Wahrheit Zeurst, essentially making them Cloud Hearts-produced series. The studio's first credited work was Tawawa on Monday 2, with animation supervision credited to YAL. All series produced by Cloud Hearts were either supervised by or credited as co-productions with YAL. Nakatani also served as a production supervisor for The Genius Prince's Guide to Raising a Nation Out of Debt, credited solely to YAL.

In 2023, the studio moved its headquarters from Suginami's Igusa district to the Asagaya district, also according to the commercial registry. Nakatani's last credits with the studio were also around this year, in which he was the animation producer for The Iceblade Sorcerer Shall Rule the World and The Great Cleric, both credited as a co-production between the companies. The following Rail Romanesque 2, The New Gate, and Whisper Me a Love Song series co-produced by the studios instead solely credit YAL CEO Ooue as animation producer.

Whisper Me a Love Song was first announced for a January 2024 release but was later delayed to April citing "various circumstances", and its first director, Cai Xinya, replaced by Akira Mano due to health conditions. The final two episodes of the series were then later delayed again to December of the same year. The final two episodes of the series credit only YAL, and credit no series director.

In the years leading up to Cloud Hearts' bankruptcy, both Cloud Hearts and YAL have significantly relied on overseas outsourcing to complete episodes. On top of his role as animation producer for the YAL x Cloud Hearts series, Ooue has also served as animation producer for all YAL series, on top of supervising the production for some episodes of Whisper Me a Love Song and directing 7 episodes of The New Gate despite having no directing experience.

YAL was previously scheduled to co-animate an adaptation of New Saga with studio Makaria with director Norikazu Ishigooka to premiere in July of 2023, but due to "various circumstances" was indefinitely delayed. The series' new release date was announced in January 2025 with YAL, Makaria, and Ishigooka replaced by Studio Clutch (assisted by Studio Massket) and Naoki Mizusawa as director, with Studio Massket's Naoki Horiuchi as series episode director.

YAL was also announced to be producing Sword of the Demon Hunter with a release scheduled for June 2024 before it was also indefinitely delayed. The series was re-announced for release on March 31, 2025, with YAL and the same staff.