Hours after the retailer announced it would be delisted from the London Stock Exchange, the store confirmed that without a suitable buyer it has no choice but to look for an administrator.
However, GAME stores will continue trading while senior staff hold discussions with partners ahead of a possible closure this weekend.
"Further to this morning's announcement of the suspension of trading in shares of GAME Group plc, the board has concluded that its discussions with all stakeholders and other parties have not made sufficient progress in the time available to offer a realistic prospect for a solvent solution for the business," read the statement issued to Digital Spy.
"The board has therefore today filed a notice of intention to appoint an administrator. In the short term the board's intention is that the business will continue to trade and discussions with lenders and third-parties will continue under the protection of the interim moratorium."
> GAME days away from possible closure: What do you think?
Closing its chain of GameStation stores is said to be one of the main avenues GAME Group is exploring to save the retailer.
Comet owner OpCapita is thought to have the money in place to repay GAME Group's debts and a management group ready to restructure the business, but is awaiting approval from the Royal Bank Of Scotland (RBS).
The high street retailer's shares plummeted by 90% in 2011, despite £1 billion in annual turnover.
> Everything must go: Is this the death of games retail?
View a gallery of images from the PlayStation Vita launch at GAME's Oxford Street branch below: