Oasys Mobile, a developer of games and content for mobile devices, filed for Chapter 11 bankruptcy in an attempt to reorganize the company.

Oasys disclosed the move Thursday before Wall Street opened. Its stock has plunged in value to under 10 cents a share.

In trading Thursday, Oasys (OTCBB: OSYM.OB) plunged 71 percent to 2 cents a share.

The company recently missed a deadline to repay $8 million in debt to creditor LAP Summus Holdings and RHP Master Fund. The payment was due June 30.

In a statement, Oasys said it would “continue business as usual.”

As part of the reorganization plan, Oasys, which was once named Summus, said its debt providers agreed to exchange their claims for “substantially all of the equity” In Oasys once the company emerges from Chapter 11.

Oasys also secured a credit facility from its debt providers to fund ongoing operations.

“The Company, with the support of its senior secured creditors, expects to reorganize and exit Chapter 11 as soon as October 2007,” Oasys added.

Doug Dyer, a gaming industry veteran who recently joined Oasys as its chief executive officer, called the Chapter 11 move a “necessary and responsible step.”

“I am confident that with our tremendous talent pool, we will emerge from this process as a stronger, more competitive organization that is well-positioned to respond to and succeed in the ever-changing market place,” he added. “With our current line-up of licenses, carrier relationships, and world-class developers, we are now looking forward to focusing fully on growing the business and reaching profitability.”

Oasys (OTCBB: OYSM) stock closed at 7 cents on Wednesday. Within the past year, the firm’s stock traded at better than $3 per share, with a 52-week high of $3.90.