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GAME in “dialogue” to secure lending, may sell-off overseas business

Thursday, 2nd February 2012 10:37 GMT By Patrick Garratt

UK retailer GAME confirmed in a statement today that it’s in talks with lenders to secure more funds, following news yesterday that the firm’s credit insurance is in jeopardy.

“In response to press speculation the GAME Group plc confirms that it is in on-going dialogue with its lending syndicate to reach agreement on revised terms for its facilities,” said the company.

“As part of these discussions, the lending syndicate is reviewing a strategic plan of the company which includes a review of its overseas operations. A further announcement will be provided once discussions with its lending syndicate have concluded.”

It was seen yesterday that both MGS HD and NeverDead had been pulled from the GAME website.

MCV reported behind-the-scenes worries as the store chain is facing “challenges” with its credit insurance. NowGamer posted a similar story yesterday.

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12 Comments

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  1. Patrick Garratt

    This is about to go completely wrong.

    #1 3 years ago
  2. Goffee

    If its a matter of credit insurance, which has affected many retailers, can’t the government can provide a bailout fund loan to a company that stands a decent chance of remaining in business.

    Failing that, if the industry needs GAME so much, why don’t EA, Ubi and T2 invest for a stake of the company?

    #2 3 years ago
  3. Johnny Cullen

    Just had a conversation about this with someone. Basically, it needs to pull in GameStation and have it operate under GAME as one brand. That’s just one thing, though.

    #3 3 years ago
  4. VIP0R

    Maybe joining as one brand would be cost effective and could close down many shops to save some money.

    I’ve been to so many places that have a GAME almost next door to a Game-Station with another GAME or Game-Station just around the corner.

    #4 3 years ago
  5. TheBlackHole

    @3

    For reputation’s sake, I think they’d be better of renaming everything to Gamestation – it’s by far the better store.

    #5 3 years ago
  6. Yoshi

    If they put GAME and Gamestation into one it would make more sense and save them money.

    Where I live there is a GAME store and literally just across the road is a Gamestation XD

    #6 3 years ago
  7. dreamcastnews

    Actually working for the group, I can see where all of this seems like bad news and it’s unfortunate that Game have come under the microscope so much over the past 12 months or so, but the atmosphere in stores couldn’t be more different; there isn’t a vibe of doom and gloom and staff – be it at higher or lower levels aren’t being told to brace themselves or anything like as bad…. I think the Group will pull through, the Vita is just around the corner and the Wii U should help also.

    Game Stores Group are – like it or not – the only real specialist retailer on the highstreet, and if they did face the worst imagine the rest of retail? We’d all be buying our games from Tesco or banking on the fact that Amazon would hold our favourite titles with the vague hope of using their clunky trade in scheme to get rid of the titles we’ve played, it’d be a sad day…

    #7 3 years ago
  8. RandomTiger

    A lot of folk in the industry would not be sad to see it go, pushing preowned and cutting out the publisher and developer has not made them any friends. Personally I don’t find Game stores competitive and only buy there in emergencies.

    #8 3 years ago
  9. Johnny Cullen

    @6 Pretty much what the person told the same thing, re: GAME and GameStation in close proximity. In fact, he was at the Vita Rooms event in Glasgow, where he said (and I’m sure Colin can back me up on this as he was there) there was a GAME opposite the venue and about 20 yards down the street, there was a GameStation.

    #9 3 years ago
  10. Colin Gallacher

    @9 Yup, there’s a GAME and GameStation within about…50 metres of each other.

    It’s worse in Dundee. The two shops are nearly opposite each other, 30 seconds walk apart!

    #10 3 years ago
  11. freedoms_stain

    I think having Game and Gamestation stores relatively close is somewhat tactical, they want you to look in both.

    #11 3 years ago
  12. Colin Gallacher

    @11

    While I’m sure probably true, I think a lot of it just comes the placement of the stores after being bought from Blockbuster 5 years ago.

    #12 3 years ago