I'm truly sorry to hear so many people lost their jobs, but I can't say this comes as a surprise given their continued rocky, derivative and uninspired releases. Even TimeSplitters had zero ideas of its own but got away with it by cramming so much into the game - guns, maps modes. They might not be closed but I don't ever recall a developer recovering from administration.
I also can't help but expect the new studio to tank hard. They've pissed off pretty much every publisher they worked with so it wouldn't surprise me. Notice how only Eidos worked with them twice (on TS1 and 2) and then no other subsequent publisher worked with them more than once? Yeah, there's a reason for that. If you're being that demanding and difficult with your publisher you better have a damn good game to go with it, and they never did.