Game’s future has been cast in doubt after a rescue deal put forward by Comet’s owner appears to have been rejected by the troubled retailer’s banks.
Private investment company OpCapita, which acquired Comet for £2 last month, proposed taking on Game’s debt and settling a £40m bill with its suppliers.
The rescue deal would have taken the pressure off Game which last week warned that it could collapse into administration as it faces a large quarterly rent bill.
But it is thought banks have not warmed to the OpCapita proposal. It is thought RBS is owed £40m, while Barclays, HSBC and La Caixa are all owed about £30m.
Game needs to raise about £180m in a week to remain solvent, it has been reported.
Game has been looking at a range of restructuring options to stave off administration. It put itself up for sale at the beginning of the month, but may also just sell its overseas arm after hiring Rothschild in February, as revealed by Retail-Week.com.