The GAME Group has suffered ”serious cashflow and profit issues” over the past few months, says administrator PWC, but they believe a sale ”is achievable.” Around 6,000 jobs now at risk.
It’s been reported that a number of suitors were circling the ailing body of the UK specialist group, like OpCapitca, GameStop and even US mega chain Walmart.
”The group has faced serious cashflow and profit issues over the recent past. It also has suffered from high fixed costs, an ambitious international roll-out and fluctuating working capital requirements,” said Mike Jervis of PWC.
“Despite these challenges, we believe that there is room for a specialist game retailer in the territories in which it operates, including its biggest one, the UK. As a result we are hopeful that a going concern sale of the business is achievable.”
GAME’s board of directors issued a ‘thanks’ to staff: ”The Board would like to thank the teams of GAME and Gamestation colleagues around the world for their exemplary dedication, passion and professionalism.” No continues left?
