Report – GameStop looking into GAME acquisition

Wednesday, 29 February 2012 17:23 GMT By Stephany Nunneley

A source close to MCV has said GameStop is interested in acquiring troubled retailer GAME, but not its Australian end of the business.

The reason, according to the anonymous insiders is that GameStop already owns the EB Games chain in that region.

“It’s widely known GameStop is looking at Europe,” specifically in the UK and Spanish regions is the word.

GameStop runs 6,627 stores in 17 territories and this includes the EB Games outlets in Australia it obtained through the 2005 Electronics Boutique merger.

Last month the firm closed its remaining shops in Northern Ireland which were down to three, and in Portugal it closed 16 stores.

The firm said it was part of a “natural consolidation and switch to online” but analysts believe has more to do with a possible step towards an acquisition.

GameStop called the report “market speculation or rumour”.

Stock in GAME fell today 15% after it announced it wouldn’t be carrying Mass Effect 3 at launch.