Despite saying I’d probably not bother covering any more of this GAME story unless something actually happens of note, it’s a Sunday, I’ve got fifteen minutes and the front page is quiet.
So, after MCV’s slight faux pas with their latest front cover, what’s been happening? Well, the deal with OpCapita, whilst still technically on the table, has ground down a little. This is presumably because GAME think something better will come along in the next few days, and negotiations have paused whilst all this rumbles on.
The deal hasn’t been rejected, at all.
More importantly, though, whilst GAME are deliberating, time moves on, and that quarterly rent is due this Friday, according to the Sunday Times today. This is rumoured to be around £21m, but there’s also a £12m salary run just after and there’s also £10m in VAT and – crucially – £40m to suppliers.
Any investor, claims MCV, would also have to find $100m to pay off the company’s six banks, which include RBS.
I went into a few GAME and GameStation stores last week, and the picture was grim. The physical stock was minimal, especially in terms of new titles (with many publishers not supplying their latest games) and most of the racking and displays were either empty or completely missing from the shop floor. It wasn’t a pretty picture.
6,000 jobs are in the balance then, this week, as the days count down to what most assume will end in administration. We only wish the best for those affected.
It was a year ago that Kris predicted a story very similar to this, and reading back on my thoughts from the beginning of February shows just how much of the optimism has quickly seeped from the ongoing saga. This has all been very swift, but let’s keep our fingers crossed for a happy ending.
There’s still a chance, right?