Struggling games and film retailer collapses for second time in a single year

Blockbuster UK has entered into administration for the second time this year, its owner has announced, resulting in the cancellation of Xbox One and PS4 pre-orders.

Private equity firm Gordon Brothers Europe, which bought Blockbuster UK out of administration in January, says poor trading conditions and uncooperative prospective partners are to blame for the new setback.

Those who pre-ordered an Xbox One or PS4 through Blockbuster UK have been told the retailer will no longer honour them. A representative for the retail chain has apologised for the inconvenience via Twitter. A spokesperson told CVG that customers who placed pre-orders are advised to visit the store where they made their order.

The second collapse of Blockbuster UK marks the struggles that game and film retailers face in an increasingly prevalent market of online content and digital downloads.

Fellow UK media retailer HMV also fell into administration in January. It was acquired by Hilco in April.

Posted: Oct 29, 2013 3:19 pm
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Source: http://www.computerandvideogames.com/435762/blockbuster-uk-falls-back-into-administration/