RESCUE could be on its way for Game Group as private investment firm OpCapita has offered to buy the struggling video games vendor’s debt.
A source close to the proceedings told City A.M. that OpCapita has approached Game’s lenders – a group led by RBS – with an offer to buy the retailer’s debt and pay off in full its overdue bills to suppliers.
Game’s troubles escalated recently when major suppliers including Nintendo and Electronic Arts refused to sell their new releases to the video games shop.
Game confirmed “a third party has shown interest in providing additional funding for the company.
“The third party is seeking a dialogue with the group’s current lenders, however there is no certainty to the outcome.”
RBS declined to comment on any discussions with OpCapita.
On Monday Game, which will face a quarterly rent bill in under two weeks, cautioned investors that it could soon crash into administration, leaving shareholders with worthless stock.
Hillco and Walmart have been named as potential saviours for Game, which runs 1,270 stores across Europe and Australia. Neither have commented on their intentions regarding the British video games vendor.
Game shares rose 83 per cent, or 0.95p, to 2.1p yesterday.