GAME Future Uncertain as Credit Lender Discussions Begin
Considering international operations sell-off.
Troubled specialist retailer GAME has confirmed that it is in talks with its credit lenders and could sell its international operations in order to survive in the UK.
A statement from the company reads, "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.
"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."
GAME has, alongside its 610 UK stores, some 94 outlets in Australia, 197 in France, 288 in Spain and Portugal and 67 in Scandinavia. Rothschild is overseeing the aforementioned review, but it is uncertain whether GAME will actually move to sell its international businesses.
The news follows reports and rumours of held back game releases and a withholding of staff pay - something that the company expressly denied in a comment yesterday.
A statement from the company reads, "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.
"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."
GAME has, alongside its 610 UK stores, some 94 outlets in Australia, 197 in France, 288 in Spain and Portugal and 67 in Scandinavia. Rothschild is overseeing the aforementioned review, but it is uncertain whether GAME will actually move to sell its international businesses.
The news follows reports and rumours of held back game releases and a withholding of staff pay - something that the company expressly denied in a comment yesterday.
Companies:
Game
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Comments
PaulRayment 2 Feb 2012 10:41
1/4
Can anyone explain why this is happening? What's gone wrong for Game?
Is it supermarkets taking a share? Is it the lack of new consoles?
Games seem to be bigger than ever so what's going on? Or is it just that while some games do major numbers (FIFA, MW) others just don't move many units?
Is it supermarkets taking a share? Is it the lack of new consoles?
Games seem to be bigger than ever so what's going on? Or is it just that while some games do major numbers (FIFA, MW) others just don't move many units?
Gef 2 Feb 2012 10:58
2/4
GAME isn't needed for mature gamers, but we need it to survive for kids to buy their first console and titles, and get into the scene. Then, as they grow up, they can get into how we do things, but as a launch pad it is pretty important.
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SpoonHammer 2 Feb 2012 12:43
3/4
@Gef
It's also needed because it's a SHOP. Not a website or a generic supermarket where you can only browse the top 20 games before you go to the cheese aisle, it's a SHOP where you can pick up what you want, pay for it and have it IN YOUR HAND as you walk out. You know, like a SHOP.
It will be a very sad day when specialist retailers are a thing of the past. A day that is, regrettably, inevitable.
Bloody internet.
It's also needed because it's a SHOP. Not a website or a generic supermarket where you can only browse the top 20 games before you go to the cheese aisle, it's a SHOP where you can pick up what you want, pay for it and have it IN YOUR HAND as you walk out. You know, like a SHOP.
It will be a very sad day when specialist retailers are a thing of the past. A day that is, regrettably, inevitable.
Bloody internet.
Joe Mac 5367 3 Feb 2012 09:16
4/4
My heart bleeds for Game and their profits. GAME need taking down a peg or two. Think of all the places that have closed down or been swallowed up by them. Now it's Game's turn to be put in difficulties.