GAME needs to raise £180 million in a week to avoid administration

Discussion in 'Articles' started by DOPEBOI, Mar 19, 2012.

GAME needs to raise £180 million in a week to avoid administration

DOPEBOI Mar 19, 2012

  1. DO

    DOPEBOI Gold Member Gold Subscriber
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    Limping high street retailer GAME needs to raise £180 million by the end of the week to avoid slipping into administration.

    According to a PA report, that number includes a £21 million rent payment due this weekend, a £12 million wage bill looming at the end of the month, £10 million in VAT and £40 million owed to suppliers. A new investor would also have to pay the chain's banks around £100 million.

    Last week, private investment firm OpCapita swooped in with a firm offer but, according to MCV, that deal is being held up by the Royal Bank of Scotland.

    A source "close to the negotiations" claimed the bank has frustrated GAME management with its unwillingness to enter into "meaningful conversations" with potential buyers.

    A source added that OpCapita is still interested in the store and, should the deal go ahead, has no plans to break up the company for parts.

    "We are not asset strippers, we've never stripped anything," they insisted. "We're about investing and improving. It's a point of difference and we're proud of it. We focus on running businesses. That's what we're about."

    The source added that OpCapita isn't planning short term job cuts, though there would likely be a management shake-up.

    The company's strategy has been responsible for a turnaround in the fortunes of UK electronics chain Comet, which it purchased last year, as well as struggling French retailer BUT, which it bought in 2008.
     
    Last edited by a moderator: Mar 19, 2012
    1. XxStarzxX
      XxStarzxX
      Wow that's alot of money. Can they do it lol ?
    2. Dibs
      Dibs
      Game got to big for there boots in my town they had two shops which were cramped with so much crap on the floor, then got greedy with there prices charging to much on there games and pre owned games, Dead islands £39.99 and in Asda £24.99 also there getting under cut by other shops. Most of the staff dont have a clue about the games or game releases. Most of the staff ive met are up todate on there gaming with new and old games.

      As for gamestation there shops area a total rip off over the top prices on new and pre owned games, went in there one day and a sales assistant didnt even know what windows 7 was.
    3. jayt180703
      jayt180703
      looks like there going down i never use them so no loss to me anyway ...

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