Troubled video games retailer Game will finally shut its doors, with administrators PwC announcing yesterday the chain will close all remaining locations.
The decision comes after a tumultuous few months, during which the company’s British parent collapsed into administration, while the local arm searched for a buyer under the direction of local managing director Paul Yardley.
PwC said yesterday 16 stores were to be shut down immediately, while the remaining 15 will be closed over the next few weeks – a “difficult” decision, according to administrators Kate Warwick and Greg Hall.
The decision had been rumoured towards the end of last month, but PwC wouldn’t confirm whether any stores would close at the time.
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“In the interests of creditors, the 31 remaining Game stores are to be closed over the coming weeks and a final closing down sale has commenced with discounts of up to 60% available in-store and online,” Warwick said in a statement.
Game’s British parent collapsed into administration earlier this year, leaving the local administration in limbo. In early April, Yardley was searching for a buyer, but in late May, Game said it would shut down 60 stores with 281 jobs lost, including head office staff.
The local branch had 90 stores and $33 million in review. The administrators had been searching for a potential buyer, but that option has evaporated.
“This is a difficult time for employees and closing the stores was not a decision we made easily. Despite exploring available opportunities for continued trading, the ongoing trading performance and absence of viable offers for the purchase of the business has resulted in these closures.”
A second creditors’ meeting is expected to take place today to decide the future of the company.
The closure means the local videogame market has consolidated even further, following the closure of retailers WOW Sight and Sound, while Dick Smith also announced it too would leave the gaming market.