The GAME Group is heavily tipped to be on its last legs, and the latest statement from the embattled retailer suggests that "uncertain" of success in the face of a terrible weekend of trading. Their stocks have fallen to their lowest ever point over the last 48 hours, though if the ship is going down, it appears that they plan to go out swinging.
In a statement made to MCV, GAME confirmed that they're still "working actively" to secure funding from its lenders, broker deals with suppliers and seek "alternative sources of funding after a truly worrying couple of months - but they're "uncertain" whether they'll be able to pull through.
Further to GAME’s announcement of 29th February 2012 and recent press speculation, the Group confirms that it remains in discussions with its suppliers and lenders in relation to terms of trade that allow the business to operate within the facility provided by its banking syndicate, as announced on 3 February 2012, and to meet its revised strategic plan.
While these discussions are ongoing, it has not been possible to source new products from a number of suppliers.
The Board of GAME is working actively to resolve these 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 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.
GAME's share prices have dropped from 3.51p on Friday to 0.5p this morning ( now 1.5p and fluctuating, thanks Late), putting them in an incredibly vulnerable position as well as confirming a major lack of market confidence.
Their recent fire sale - shedding a huge amount of stock as quickly as possible - does little to assuage our worries. At the risk of kicking them while they're down, I would once again urge you to spend your loyalty points/credit as soon as you can. We'll continue to bring you the latest as we hear it.