Game Share Discussion Threads

[traidemark] 18/3/2012 14:04

I would predict a heavy fall here tomorrow unless the company rns some positive news.

They should have been working all weekend so who knows.

[sapper2476] 18/3/2012 13:56

Lol... it might well be, but then again it might be a load of old tosh. Good luck with investments you may have here. I got some at the close. See how it pans out next week.

[sapper2476] 18/3/2012 13:50

Really... and that came from the company. No it came from a journalist who had to fill a column on Sunday.

[pwhite73] 18/3/2012 13:43

This is a new story. What is new is that the £180 million is needed immediately. All previous stories have addressed the rent due by next week. Today we learn that the creditors, workers and inland revenue want their money immediately.

[sapper2476] 18/3/2012 13:39

That is just the same story re-hashed from endless sources this week. Nothing new. All that will dictate is the news from the company on administration or buy out...

[traidemark] 18/3/2012 13:36

1 week left then

[pwhite73] 18/3/2012 12:53

Yes that's right.

Goldmans Sachs was fined $550 million in 2010 for advising its clients to buy a certain mortgage product. Unbeknown to its clients the product had been designed and recommended by another client John Paulson & Co. JP&C were a hedge fund. They were secretly shorting the product in greater amounts than they were buying the product. The product had been designed to fail from the outset. So the short position took the upper hand over the long position.



This happens all the time with professional speculators especially in small caps. Investment funds announcing holdings in order to trigger small private investor interest. As soon as the private investor interest pushes the stock into profit they start selling and shorting. Selling is stock you already hold. Shorting is selling stock you don't hold. Whilst the selling and shorting is going on the company can still announce further buys. But the buys reported are far far smaller than the amount of sellling and shorting that is going on. Of course the latter transactions are never reported.

Do not assume all holdings in GMG are the same today as they were when last announced.

[spadman] 18/3/2012 12:38

they hold all three positions?

[pwhite73] 18/3/2012 12:31

That is exactly what hedgefunds and professional money do. They hold all three positions at varying prices and amounts all at the same time. Its only little unfinanced people like us take one position at a time.

[ron d voo] 18/3/2012 12:26

I think you're deliberately misunderstanding, Spad. There are different ways and strategies for trading.

[spadman] 18/3/2012 12:24

PWhite73: Yes hello, id like to place a buy order for game group 1m ord shares.

Broker: We can deal at 3.3p sir would you like to accept.

PWhite73: Yes please

Broker: I can confirm your order to buy 1m shares in Game Group was executed 3.3p for settlement 24th March. Do you have any other orders to place?

PWhite73: Yes please Id like to sell 1m shares in Game group.

Broker: The bid price is 3p would you like to accept.

PWhite73: Yes please

Broker: LMFAO ok

PWhite73: errr can I go short?

Broker: do what you like mate loooool

PWhite73: Youd be surprised how often I buy and sell at the same time and go short.

[spadman] 18/3/2012 12:11

selling shorting and buying at the same time!

LMFAO

[ron d voo] 18/3/2012 11:47

How do you know what's happened since then, though?

[gurp] 18/3/2012 11:24

badly said & plain wrong
the blueshore rns shows a holding not a (re?)purchase so NOT simply closing shorts

[shareho1der] 18/3/2012 10:55

well said, PWhite.

[pwhite73] 18/3/2012 10:52

Administration protects the company from its creditors and the inland revenue whilst it restructures. Administration is where Game Group is going unless somebody stomps up £180M immediately. All these people like Blueshore who are goading you on are short-term traders who could just as easily be closing their shorts as well as dumping their holdings.

When the music stops its small private shareholders that will be holding this dead baby.

[shareho1der] 18/3/2012 10:48

I was playing TOTAL WIPEOUT on my xbox yesterday and suddently it says GAME OVER.
anybody know why ?

[knigel] 18/3/2012 10:45

A thread is a point of discussion and gathering information. As I said, I held GMG and will buy GMG again so obviously fell reading this thread and maybe making a relevent point is justified. I do agree that their are posters who deramp non stop and have no intention of holding the share they are commenting on and they can be annoying. These posters may have a motive for this - who knows? But generally if someone is a non holder but is interested in the share (because they held or may buy) surely the odd comment is fine?

[knigel] 18/3/2012 10:44

A thread is a point of discussion and gathering information. As I said, I held GMG and will buy GMG again so obviously fell reading this thread and maybe making a relevent point is justified. I do agree that their are posters who deramp non stop and have no intention of holding the share they are commenting on and they can be annoying. These posters may have a motive for this - who knows? But generally if someone is a non holder but is interested in the share (because they held or may buy) surely the odd comment is fine?

[linslader] 18/3/2012 10:43

GAME Group is in a race to secure £180m to pay creditors or face administration, The Sunday Times reports. The specialist giant apparently has a £21m rent payment due on Sunday, a £12m wage bill due shortly after, and owes more than £10m in deferred VAT and £40m to video game suppliers. The paper says that GAME could be put into administration this week as lenders believe the firm will not be able to find a backer in time. Any investor, as well as the above mentioned debt, would have to pay the firm's six banks - including Royal Bank of Scotland – £100m. GAME is in emergency talks with a number of potential new backers, the paper writes. OpCapita is interested, but the lenders are sceptical that the private investment specialist has the means to rescue the stricken High Street giant. Wal-Mart and GameStop are believed to be two other likely suitors. Hilco is reportedly interested in GAME's international assets. GAME hit trouble following a poor Christmas sales period. The business believed it would be a much stronger Christmas period, telling investors in September that they were confident in the software line-up – which included Modern Warfare 3, FIFA, Halo, Zelda, several 3DS titles, Skyrim and Saints Row: The Third. Like many retailers, GAME relies on Christmas to generate revenue, and uses a banking facility to get it through the quieter Spring and Summer months. However, following a disappointing festive period, the Group had to renegotiate a deal with its lenders (namely RBS, Barclays and HSBC). It received a significantly lower facility, which bought the firm some time. However, in order to survive until the profitable Christmas period, GAME needed better supplier terms. It reached out to its publishers, even holding an event at BAFTA for 80 to 90 of its partners to explain what was required in order to see the retailer survive. Although early reports suggested the meeting was a success, GAME has failed to win over some big suppliers - namely EA, Nintendo.

[jimrclark] 18/3/2012 10:35

I guess that it is a question of risk - potential upside v's potential loss. At these prices, the upside is significant(perhaps, very unlikely though) and, depending on what you've invested, the loss might be very small. I wouldn't criticise anyone for holding especially if they can afford to lose the money.

We are in very different territory nowadays. The gov't simply doesn't want these high street names to fold and because of it's ownership of RBS, there will be a lot of pressure to find a deal that allows GMG to continue.

The news that the creditors weren't happy did not say that the deal was dead in the water. If there is no RNS tomorrow morning then there is still a chance that a deal is done.

[spadman] 18/3/2012 10:32

GAME Group is in a race to secure £180m to pay creditors or face administration, The Sunday Times reports.

The specialist giant apparently has a £21m rent payment due on Sunday, a £12m wage bill due shortly after, and owns more than £10m in deferred VAT and £40m to video game suppliers.

The paper says that GAME could be put into administration this week as lenders believe the firm will not be able to find a backer in time. Any investor, as well as the above mentioned, debt would have to pay the firm's six banks - including Royal Bank of Scotland – £100m.

GAME is in emergency talks with a number of potential new backers, the paper writes.

OpCapita is interested, but the lenders are sceptical that the private invent specialist has the means to rescue the stricken High Street giant.

Wal-Mart and GameStop are believed to be two other likely suitors. Hilco is reportedly interested in GAME''s international assets.

GAME hit trouble following a poor Christmas sales period. The business believed it would be a much stronger Christmas period, telling investors in September that they were confident in the software line-up – which included Modern Warfare 3, FIFA, Halo, Zelda, several 3DS titles, Skyrim and Saints Row: The Third.

Like many retailers, GAME relies on Christmas to generate revenue, and uses a banking facility to get it through the quieter Spring and Summer months.

However, following a disappointing festive period, the Group had to renegotiate a deal with its lenders (namely RBS, Barclays and HSBC). It received a significantly lower facility, which bought the firm some time. However, in order to survive until the profitable Christmas period, GAME needed better supplier terms.

It reached out to its publishers, even holding an event at BAFTA for 80 to 90 of its partners to explain what was required in order to see the retailer survive.

Although early reports suggested the meeting was a success, GAME has failed to win over some big suppliers - namely EA, Nintendo, and most recently, Capcom. The firm has since missed out on major release Mass Effect 3, and has lsot support from Capcom, Nintendo, Microsoft, Activision, Sega, Tecmo Koei and more. Sony is a notable exception, supplying GAME with Vita units and games such as Twisted Metal

The situation has taken GAME to the brink of collapse.