Our source has revealed that GameStop’s Interim CEO, Shane Kim, has confirmed that the company are in fact talking with third parties about a possible buyout, but has stressed that they’re just “talks” at the moment and nothing is set in stone.
Last night Reuters reported that GameStop was currently in talks with third party private equity firms for a possible sale of the high-street retailer. Today, we heard from our own sources on the matter who confirmed that Kim had responded to the news:
“I wanted to let you know that we have issued a statement confirming that discussions with third parties about a potential transaction with our company are taking place. I also wanted to reiterate what we said in our statement that these discussions are only exploratory and by no means guarantee any agreement will result from these discussions,” stated Kim, in an employee bulletin shared with us by our source. “While I’m happy that other parties see the potential in our company, I want to reiterate to each of you that I am a true believer in our company, and I am committed to staying focused on driving our business strategies forward. I’m asking each of you to do the same.”
Like almost all brick and mortar game retailers, GameStop has suffered heavy casualties in war against online retailers, such as Amazon and the growing digital market. GameStop has managed to mitigate some of the loss of sales by expanding into the used game and devices market and this expansion doesn’t seem to be stopping anytime soon.
Once again confirming that the news is currently still just “talks”, Kim states, “Let’s not let this new be a distraction. Let’s agree to remain focused on the priorities and opportunities in front of us and on performing our jobs. And above all else, let’s fight every day to take care of our company, and each other, as always.”
Could this be a good sign for the struggling high street retailer, or will we slowly see game stores become a thing of the past as we take to the digital marketplace with more vigour? Only time will tell.