Tuesday, April 3, 2012

Game Group to enter administration

fears 6,000 jobs in the UK that the actions of retailers who have problems are suspended and admits that his company is worth nothing

Game

Future Group is in the balance following the submission of the administration and admitted the company was worthless, threatening 6,000 jobs in the UK.

retailer of video games has been trying to negotiate a rescue with the private equity firm that recently purchased electrical retailer Comet OpCapita, but his offer was blocked by lenders of the game, led by Royal Bank of Scotland.

game stores remain open and a fire sale began. The company acknowledged Wednesday that the company had no "fairness" when its shares were suspended from trade.

The company operates 1,270 stores, half of them in the UK, and employs 10,000 people worldwide, needs to raise about £ 180m to prevent collapse. Sales were affected after several suppliers refused to deliver new games, including Mass Effect 3, Mario Party 9 and Street Fighter X Tekken. The game was trying to raise funds through a "spring cleaning" sale on their website, with games at a price of £ 1.98.

"There are certainly some bargains to be had," said Piers Harding-Rolls, head of gaming research firm IHS Screen Digest.

NOI group to appoint directors, PricewaterhouseCoopers estimates that, given the space of fifteen days to breathe that protect the company against creditors.

is a desperate race against time, as a game against a bill of £ 21 million quarterly revenue, on Sunday and a payroll of £ 12m at the end of each month. It is also more than 10 million pounds of VAT, £ 40 million to suppliers, and up to 100 million pounds to seven lenders -. RBS, Barclays, HSBC, HSBC Australia, La Caixa, Allied Irish Banks and Bank of Ireland

However, sources close to the lenders argued that OpCapita not lead to a fully funded proposal unconditional and administrators could not provide the game with a guarantee that it would be a solvent solution for the company.

The U.S. retailer GameStop and turnaround specialist Hilco also been rumored to be in the frame.

While an agreement with OpCapita seems unlikely at present, the idea of ??a rescue, which involved only banks and suppliers has been floated. However, sources close to suppliers OpCapita warned that it would be destroyed. However, job losses are likely to play only as a business can survive much thinner down.


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