UK video games retailer Game has announced that it is to seek the appointment of an administrator. This follows the earlier suspension of trading in its shares in London.

A statement from Game said talks with its banks and other interested parties had not made enough progress to offer a realistic prospect for a solvent solution for the business.

Game said the businesses would continue to trade, and talks would continue with its lenders and third parties under court protection.

Earlier, the Game board said it now believed there was no equity value left in the group.

Game trades from about 1,270 stores in nine European markets and Australia and employing 10,000 people. There are 14 stores in the Republic of Ireland.

The company was reported to be trying to raise £180m this week after several suppliers refused to provide it with new products. All the group's stores, which also include the Gamestation brand, are still open for business.