Game Group thrown lifeline

Struggling high street chain is rescued from administration by private equity firm OpCapita, saving more than 3,200 jobs

Thousands of jobs at struggling games retailer Game UK have been saved after it was rescued from administration by PE firm OpCapita.

Over the weekend, administrator PwC agreed a deal on the sale of Game UK’s assets to Baker Acquisitions Ltd, an entity advised by OpCapita.

Financial details were not disclosed.

Under the terms of the deal Baker Acquisitions will provide the firm with the capital it needs to trade normally, and will acquire all 333 UK stores that remained open during the administration period.

As well as safeguarding the jobs of nearly 3,200 Game employees, a number of head office staff who received redundancy notices last week will now be re-employed. A statement said no further store closures were being planned.

Henry Jackson, managing partner of OpCapita, said: "We are pleased to have reached agreement with the administrator. We strongly believe there is a place on the high street for a video gaming specialist and Game is the leading brand in a £2.8bn market in the UK.

"We have assembled a strong team of experienced industry operators to implement the programme of operational change that is needed. There is a huge amount to do but we look forward to the challenge of restoring Game's fortunes in partnership with its employees and suppliers."

Mike Jervis, PwC partner and Game administrator, added: "We are delighted to be able to secure this business sale and provide some much-needed stability for customers, suppliers and employees alike in these uncertain times. The support of these stakeholders has been crucial over the past week and I would like to thank them for their support throughout this difficult period.

"This means that the Game brand will not be another one of the retail names disappearing from the high street in the current difficult climate."