Investors believe that Walmart is prepared to offer 12p per share to buyout GAME Group.
News of Walmart’s approach to GAME was revealed exclusively by MCV this afternoon.
As recently as Monday, GAME shares plunged to an all-time low of just 0.5p. However, rumours of a buyout today have seen its share price recover to 2.1p.
That gives it a current market cap of 7.23m. A buyout at 12p per share values the company at over 40m. The company has not been worth that much since November 2011. At its peak in May 2008 GAME shares were trading for 2.96.
If true, the news could point to – of all things – a potential bidding war for the retailer.
MCV confirmed this afternoon that Comet owner OpCapita has already tabled a buyout bid that the GAME board is currently evaluating. Details of that bid have not yet revealed.
What is certain is that at the start of the day we were counting the days until GAME’s collapse. Now we are trying to gauge the extent of its rescue.