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Retail

New GAME owner confirms no more store closures

New GAME owner confirms no more store closures

Sun 01 Apr 2012 4:55pm GMT / 12:55pm EDT / 9:55am PDT
BusinessRetail

Retailer bought out of administration, some head office staff to be offered jobs back

The new owner of beleaguered retailer GAME has confirmed there will be no more store closures as it provides capital to the business to trade "on a normalised basis."

Baker Acquisitions, advised by OpCapita, has bought all the UK assets of GAME, and will keep 333 stores open, safeguarding almost 3,200 jobs. It also hopes to re-employ a small number of head office staff.

"We strongly believe there is a place on the high street for a video gaming specialist and GAME is the leading brand in a 2.8 billion market in the UK," commented Henry Jackson, MD of OpCapita.

"We have assembled a strong team of experienced industry operators to implement the programme of operational change that is needed. There is a huge amount to do but we look forward to the challenge of restoring GAME's fortunes in partnership with its employees and suppliers."

Getting suppliers on board with the new business will be a top priority after publishers such as Electronic Arts, Activision and Ubisoft began pulling games from shelves at the start of this year. Saddled with debt, the publisher spiralled into administration last week, sacking over 2,100 staff and closing 277 stores.

"We are delighted to be able to secure this business sale and provide some much needed stability for customers, suppliers and employees alike in these uncertain times," added Mike Jervis of administrator PwC. "The support of these stakeholders has been crucial over the last week and I would like to thank them for their support throughout this difficult period.

"This means that the GAME brand will not be another one of the retail names disappearing from the high street in the current difficult climate."

8 Comments

Siyuan Lin
Sound Designer

7 0 0.0
April 1st, mmm

Posted:2 years ago

#1

Rupert Loman
Founder & CEO

138 45 0.3
That would be pretty cruel!

Posted:2 years ago

#2

Nick Parker
Consultant

279 143 0.5
Who is the 'strong team of experienced industry operators'?

Posted:2 years ago

#3

Ged McMillan
Retail Manager

12 5 0.4
Have they actually been quoted as saying no more store closures?

Posted:2 years ago

#4
It would be interesting to see which kind of management staff are hired.

Would it be from the industry or someone who has experience turning around large corporations eg. Sir stuart rose

Posted:2 years ago

#5

Stephen Richards
Game Deisgner

67 28 0.4
I'm guessing it means no more closures in the immediate future. In other words, the company won't collapse completely. If they aren't prepared to close more stores over the next five years as more games go digital only, they'll end up in exactly this position all over again.

Posted:2 years ago

#6

James Verity

132 25 0.2
Still think its daft the way they decided to keep two shops in some towns... we still have both a Game and Gamestation within easy walking distance of each other...

Posted:2 years ago

#7

Peter Dwyer
Games Designer/Developer

481 290 0.6
Actually they will need to diversify the business. It's something that they already started before the collapse. Digital distribution along with bricks and mortar stores and a vast reduction in their used vs new ratio of stock.

Online only titles from EA seem to be a quite litterally stupid prices on PSN and Live. 49.99 for Mass effect when a solid copy can be had for 37? I still have yet to understand that nonsense.

Posted:2 years ago

#8

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