Game has filed a notice of intention to appoint an administrator after suspending its shares this morning. Stores will remain open for the time being.
Retail Week understands PwC is waiting in the wings.
Game said it continues to trade and discussions with its lenders are ongoing.
Game said: “Further to this morning’s announcement of the suspension of trading in shares of Game Group plc, the board has concluded that its discussions with all stakeholders and other parties have not made sufficient progress in the time available to offer a realistic prospect for a solvent solution for the business.
“The board has therefore today filed a notice of intention to appoint an administrator.
“In the short term the Board’s intention is that the business will continue to trade and discussions with lenders and third parties will continue under the protection of the interim moratorium.”
It was offered a lifeline last week by Comet-owner OpCapita which put together a rescue plan for the retailer that involved taking on Game’s debt and paying its suppliers. However, Game’s banks rejected OpCapita’s proposal.
PWC declined to comment.