Games go east

WA leisure company Games R Us is planning to shift its corporate headquarters to Queensland after the $1.4 million purchase of seven Software Today retail stores from the Strathfield Group.

Games R Us CEO Mathew Edwards confirmed about four staff at the company’s East Perth administration centre had been let go and there was some doubt over the future of at least one executive.

But Mr Edwards, the founder of the seven-year-old business and its biggest stakeholder, said the key management would remain with the company, as would an adequate staff to service the WA business, which represents about half the group’s national store base of 19.

“There is potential to move to Queensland,” he said.

“We saw the opportunity with the quiet time in business to cut back on the operation here.”

Mr Edwards said new capital was being sought but he denied the company was having any financial difficulties after listing on October 4.

In its prospectus, Games R Us forecast turnover would be $17 million for the full year’s trade.

There has also been doubt cast over an agreement launched last year with Jermaine Jackson, the brother of superstar Michael Jackson, but Mr Edwards said the deal was not dead.

“The deal is still out there. There is still an opportunity. It is whether that as a company we are mature enough to capitalise on that,” he said.

“It may be a bit too early.”

Mr Edwards said a move to Queensland would put the company closer to bigger East Coast markets without the cost of being in Sydney or Melbourne.

The seven new stores are all in Queensland.

“It’s an ongoing process of aligning the company with our business needs,” Games R Us chairman David Taylor said.

Games ‘R’ Us suspended its shares last month.

“We’re in a fairly dynamic business situation, but I don’t want to speak about that,” Mr Taylor said.