GAME to exit administration as RBS consortium wins race

Ben Parfitt
GAME to exit administration as RBS consortium wins race

MCV has been led to believe that the GAME saga will come to a welcome close earlier than expected.

Sources close to the negotiations are certain that a deal to save the retailer is incredibly close, with a likely exit from administration as early as tomorrow (Friday March 30th).

Furthermore, multiple sources have told us that it will be the RBS-led bank consortium – and not GameStop or OpCapita – that will seal the deal.

Several reports from the national press last week suggested that RBS was the favourite to acquire GAME, though MCV remained sceptical owing to the complications presented by the idea of a majority public-owned retailer.

However, despite the recent downsizing of the chain that has seen 277 stores close and the loss of 2,104 jobs (40 per cent of the chain’s UK workforce) once-favourite GameStop has failed to show the appetite needed to seal such a deal.

Indeed, questions will likely be asked of RBS’ decision to outright reject OpCapita’s bid that would have safeguarded the jobs of the entire workforce, with accusations that the decision was made in its own favour at the cost of GAME employees.

On a more positive note, however, an exit from administration tomorrow will put the minds of remaining employees at ease whose jobs will be secured. It will also be good news for consumers, with GAME finally able to pick itself up and re-establish its place at the front of UK games retail.

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Tags: GAME , jobs , exit , RBS , adminsitration

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