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Retail

OpCapita to buy GAME's UK business

OpCapita to buy GAME's UK business

Sun 01 Apr 2012 6:47am GMT / 2:47am EDT / 11:47pm PDT
BusinessRetail

Investment firm could save up to 333 stores and over 3,000 jobs

Investment firm OpCapita is buying a large portion of specialist retailer The Game Group, keeping open 333 stores and saving 3,100 jobs at the company.

According to a report by the BBC the move has been approved by six banks which are owed a total 85 million, led by Royal Bank of Scotland.

The Game Group officially went into administration last week, closing 277 stores and making 2,107 staff redundant.

According to a separate report by The Telegraph, the deal is only in place for the UK business, with a management team already in place to take control. OpCapita is expected to have bought the company for as little as 1.

Full details of the deal are expected to be announced shortly.

3 Comments

Ken Addeh

37 0 0.0

Edited 1 times. Last edit by Ken Addeh on 1st April 2012 10:33am

Posted:2 years ago

#1

Mike Wilson
Tools Programmer

1 0 0.0
They also take on the debt Ken.

Posted:2 years ago

#2

Dominic Jakube
Student

92 13 0.1
85 Mill by 333 stores means 255 grand per shop plus whatever other assets GAME had.Seams a bit high to me as the brand is permantly damaged.Who would buy a gift-card or plunk down a cash deposit on a game with them now?
They still have the supply issue to work out as well.The big publishers will have them over the barrel now and could still withold stock if GAME keep pushing pre-owned.
Unfortunatly without pre-owned GAME's bussiness is not viable as profit on new stock is in the order of 5-10% to stay competitive.They might have to chose between the profitable income from used versus getting new stock to sell if the publishers play hard ball.
Either way GAMEs days of having thier cake and eating it too may be over.

Posted:2 years ago

#3

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