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GAME enters administration, talks with lenders continuing

Wednesday, 21st March 2012 11:31 GMT By Johnny Cullen

As expected, UK retailer GAME has entered administration.

GAME Group has confirmed its intention to file for an administrator this morning.

The news comes after the retailer suspended itself from the London Stock Exchange earlier this morning.

In a statement, the firm said it intends to continue business as normal in the short-term, adding it’ll continue talks with lenders and third-parties.

“Further to this morning’s announcement of the suspension of trading in shares of GAME Group plc, the board has concluded that its discussions with all stakeholders and other parties have not made sufficient progress in the time available to offer a realistic prospect for a solvent solution for the business,” a GAME statement reads.

“The board has therefore today filed a notice of intention to appoint an administrator.

“In the short term the Board’s intention is that the business will continue to trade and discussions with lenders and third parties will continue under the protection of the interim moratorium.”

It was reported last night that a new company from the remnants of GAME could open on Monday.

The new effort would operate out of 300 stores and be bank-rolled.

It goes without saying, but we wish all the best to those GAME staff affected by today’s news.

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10 Comments

  1. Tejstar

    A sad day for all of the staff involved. Let’s it can come out of pre-pack administration a stronger and leaner chain.

    #1 3 years ago
  2. Golden

    Thoughts to all the GAME staff.
    Hopefully a new senior management team will have a more progressive approach to video game sales.

    #2 3 years ago
  3. Patrick Garratt

    Bonkers. Good luck to all those involved.

    #3 3 years ago
  4. OrbitMonkey

    Not wishing to sound completely mercenary about this, but will the UK chains start flogging their stock off cheap now?

    #4 3 years ago
  5. viralshag

    @4, You said it but everyone is probably thinking it.

    I’ma head down to my local store tonight, wish them well, and then ask for a hook up on at least a 3DS.

    #5 3 years ago
  6. Aimless

    @4 Stuff they own, perhaps. You might have noticed the stickers on a lot of Sony products noting that they’re the property of SCEE until the point of sale, so you’re unlikely to score a cheap Vita.

    #6 3 years ago
  7. nikk900

    Good luck getting cheap stuff, the staff will have that.

    #7 3 years ago
  8. silkvg247

    Will anything actually go on sale though? I went to the Milton Keyens GAME/Gamestation this weekend, it was business as usual.

    #8 3 years ago
  9. DSB

    @8 I’m not sure about the rules in the UK or anything, but when Blockbuster either got suspended on the stockmarket, or filed for bankruptcy, they weren’t allowed to stay open.

    So all the stores were literally abandoned. They’re required by law to simply lock them off, and do nothing about the stock. And they certainly weren’t allowed to sell anything.

    Likely they’re going to get help from the government or third parties to decide their fate, and I’m guessing that would result in most stores being shut down and someone scooping up the choice picks.

    I don’t know where administration comes into that, though.

    #9 3 years ago
  10. Len

    They’ve been selling stuiff off cheap for the last week or so, so I imagine anything decent is long gone.

    #10 3 years ago

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