Administrators have confirmed that 66 loss making HMV stores are to close over the next two months with the loss of 930 jobs.
HMV called in administrators in early January after suffering dismal Christmas sales as the High Street chain took a battering from online competition.
Administrator Nick Edwards said: “We have identified 66 loss making stores for closure. This step has been taken in order to enhance the prospects of securing the business’ future as a going concern. I continue to be hopeful of securing a future for the restructured business.”
Retail restructuring group Hilco UK has acquired HMV’s debt, effectively giving it control of the administrator-managed entertainment chain.
The debt purchase, which boosted the prospect of a full rescue for HMV, has been taken from the books of its lenders, Royal Bank of Scotland and Lloyds.
HMV’s net debt last October stood at £176m but it struggled to find a niche that would give it an advantage over online retail alternatives.
Via: Sky News