GAME Group has been saved by a buyout bid from OpCapita valued at a single pound.
Beleaguered high-street games giant GAME Group has received a last-minute reprieve, leaving administration thanks to an eleventh-hour bid from investment group OpCapita.
The deal sees OpCapita, which already owns high-street electronics chain Comet, picking up GAME Group's assets for a nominal £1. As a result, 333 stores owned by GAME Group and not yet closed as part of the company's cull of 277 properties
will be remaining open - for now.
OpCapita's investment saves an estimated 3,200 jobs in GAME Group's high-street facilities, which will come as a great relief the company's remaining employees and cold comfort to the 2,104 people laid off last week as the company entered administration.
'We strongly believe there is a place on the high street for a video gaming specialist, and GAME is the leading brand in a £2.8 billion market in the UK,
' claimed OpCapita's managing partner Henry Jackson of the deal. For its investment, OpCapita's David Hamid - late of Halfords - becomes GAME Group's new executive chair.
While OpCapita's deal with GAME Group's administrators saves its UK facilities, things look darker overseas. The deal only covers the company's UK properties; elsewhere, the administration continues with around 4,000 staff across 663 shops at risk.
OpCapita now has a major undertaking on its hands, clearing GAME Group's staggering debts and turning the company's fortunes around. Whether that will entail further store closures and job losses is not yet known.