GAME Australia enters administration

After a lengthy battle to secure additional backers to keep it afloat, GAME Australia has gone into administration through PwC today.

The chain in Australia is an independently owned company, trading as TGW Pty Ltd, and employs around 500 people.

PriceWaterhouseCoopers is handling the company’s administration process, and has stated that it will continue to explore the possibility of finding a buyer or backer for the company, and intends to continue trading as close to business-as-usual as possible in the interim.

Kate Warwick, a PwC partner, said: "While we are still investigating the causes behind the Australian administration; the impact of the administration of its parent, an ambitious national roll-out combined with the current soft retail environment appear to be key factors."

Customers are set to be reimbursed in some fashion for any outstanding credit from GAME’s reward scheme, and there are reports that pre-orders are being refunded and that Diablo 3 will orders will not be met.

MCV Pacific has the full story, as well as the full statement from PriceWaterhouseCoopers.