GAME goes into administration
After the announcement last week that GAME was set to appoint an administrator, it has been revealed today that the business is now in administration.
Mike Jervis and Stuart Maddison from PricewaterhouseCoopers were announced as the joint administrators today.
The GAME Group plc, Game Stores Group Limited, Gameplay (GB) Limited, Game (Stores) Limited, Games Station Limited, Game (retail) Limited, Gamestation Limited are all in administration.
There are 385 employees based in the group’s head office in Basingstoke and 5,136 store employees across the UK and Ireland.
Jervis said: “The group has faced serious cashflow and profit issues over the recent past. It also has suffered from high fixed costs, an ambitious international roll-out and fluctuating working capital requirements.
“Despite these challenges, we believe that there is room for a specialist game retailer in the territories in which it operates, including its biggest one, the UK. As a result we are hopeful that a going concern sale of the business is achievable.”
Updated: The board of GAME has said in a statement: "Further to our announcements of 21 March, the Board of GAME has completed its discussions with lenders and third parties without resolution, and has therefore today appointed PWC LLP to act as administrators for the Group. This decision is taken after careful consideration and ceaseless interrogation of every possible alternative. The Board would like to thank the teams of GAME and Gamestation colleagues around the world for their exemplary dedication, passion and professionalism."