Game gives Sports Direct green light on £52m takeover

Game Digital has agreed to the proposed £52 million take over from retail tycoon Mike Ashley’s Sports Direct.

It seems Game has somewhat begrudgingly accepted the offer after struggling to cope struggling in the marketplace. In a statement to the stock market, Game admitted that it had “little choice but to accept an offer”.

“In coming to this recommendation, the board has considered the growing size of Sports Direct’s shareholding in the group,” Game said.

“Current negative retail market outlook and the likely elongated current console life cycle are expected to impact the future financial performance of the group.”

Sports Direct bought a 26% stake in Game in 2017 and has built its holding to nearly 40%. With Ashley now controlling House of Fraser, it is thought that Game’s offerings will infiltrate the department stores and could result in House of Fraser rolling out purpose-built gaming arenas.

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