GAME UK may have been saved by private investors, but it is not out of hot water yet.
GAME, one of the biggest retailers of video game products in the world, is in serious financial trouble. So much so it’s had to enter administration, and part of that deal means the store can’t offer refunds or exchanges on its products.
The Australian arm of the troubled retailer, GAME, is reportedly looking for funds to keep its 95 stores afloat after its UK parent company, GAME Group went into administration.
In the UK, GAME is going through difficult times. It has suspended trading on the stock exchange and there are plans to close multiple stores. If GAME in the UK doesn’t raise £180 million by the end of the week it risks going into administration. This has raised concerns about GAME in Australia — we now have a local response which claims GAME Australia is working on “viable alternative options’.
The end has come for UK retailer GAME after the GAME Group was delisted from the London Stock Exchange and filed for administration.
After an extended struggle with finances that resulted in the year’s hottest titles skipping store shelves, the GAME group prepares to enter administration, as the video game retailer’s board accepts the fact that “there is no equity value left in the Group”.
GAME in the UK has had a tough few months, but things are about to get tougher. The retailer needs to raise £180 million (approximately $269 million) in a week or face going into administration.
Trouble first appeared to be brewing for major games retailer GAME in February, when pre-orders of Mass Effect 3 were suddenly cancelled. All other new EA titles followed suit, and reports began to surface outlining the company’s troubled financial state.
Overseas in Europe, GAME and its sister store Gamestation will no longer be stocking EA games post SSX, and that includes Mass Effect 3. But a statement from GAME Australia has claimed that it still intends to stock Mass Effect 3 in local stores, and is currently in talks with EA Australia.