THQ Inc. shares fell more than 7 percent Wednesday morning after the video game developer said it was closing two Australian development studios and laying off 200 employees as as part of a “strategic realignment.”

The Agoura Hills company on Tuesday night announced it was moving away from developing games based on “licensed kids titles and movie-based entertainment properties” in favor of unique proprietary content, such as its “Saints Row” and “Company of Heroes” franchises. It will continue to publish some games based on licensed themes such “WWE All-Stars,” which is developed at its San Diego studio.

“With this realignment, we are narrowing our focus to high-quality owned IP with broad appeal that can be leveraged across multiple platforms, and to work with the best talent in the industry,” said Chief Executive Brian Farrell in a statement.

The publisher also said it will create a “digital ecosystem” around high-profile game releases such as “Saints Row: The Third,” which launches Nov.15. The action title will include various downloadable content and an in-game store.

Shares were down 15 cents, or 7.5 percent, to $1.86 in midday trading on the Nasdaq.