Computer game retailer Game is in danger of collapse after several suppliers refused to provide it with hotly anticipated new titles.
The failure to secure eagerly awaited games such as Mass Effect 3 and Street Fighter X Tekken have added to the speculation that the company’s future in the UK is under threat.
The group, which employs 10,000 people, confirmed that the sale of its UK business, which has 600 stores, was a viable option in its battle for survival.
The retailer is also seeking access to alternative sources of funding and has asked suppliers for more generous trading terms, but so far it has not been possible to source new products from a number of suppliers.
Game said it was working to resolve the supply issues as quickly as possible.
“This includes ongoing discussions with suppliers, seeking access to the original facility or alternative sources of funding, and reviewing the position of all of its assets in the UK and international territories,” it said.
But it warned investors: “It is uncertain whether any of the solutions currently being explored by the board will be successful or will result in any value being attributed to the shares of the company.”
The group’s quarterly rent bill is due in a fortnight and it is believed that failure to pay its landlords could push the company into administration.
The company, which has 1,300 stores worldwide trading under the Game and Gamestation brands, has lost 94 percent of its value over the last year, with the business now valued at 12.2 million pounds ($19.2 million).