They're partnering on some "really cool aspects" of technology for the action shooter. Valhalla is solo but THQ treat "all our external teams as internal".
Right now Valhalla Game Studios founder and boss Tomonobu Itagaki of Team Ninja fame is "in Vancouver at Relic Studios, partnering with Relic on a few really cool aspects of the technology in their game," said Bilson.
Valhalla is made up of a lot of former Team Ninja developers that jumped with Itagaki-san. Bilson added that THQ treats "all our external teams as internal teams". Relic Entertainment is owned by THQ whereas Valhalla is independent but they share tech.
Devil's Third releases on Xbox 360 and PS3 and is Valhalla's debut title.