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HMV: buyer Hilco may close up to half of UK stores

Monday, 28th January 2013 11:48 GMT By Dave Cook

HMV may have been bailed-out by buyer Hilco, but fresh reports surfacing this morning suggest the latter may close up to half of the chain’s 223 UK stores.

The Daily Mail reports that Hilco is speaking with suppliers to offer them stock deals following the chain;s financial woe, and adds, “Hilco wants to rescue about half of the 223 stores in the UK as it looks to repeat the strategy that has seen it turn around HMV’s Canadian arm, which it bought in 2011.”

The report adds that Hilco is rumoured to have paid £40m towards HMV’s £120m debt, earning it control of the chain, and has moved to negotiate supply deals with several big name suppliers such as Sony, which would see HMV paying for stock incrementally, rather than in one lump sum.

Meanwhile The Telegraph reports that Hilco was the highest bidder on HMV’s debt by a long way.

Thanks MCV.

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3 Comments

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  1. viralshag

    Wow, “rumoured to have paid £40m towards HMV’s £120 debt” that’s what I call overkill… ;)

    #1 2 years ago
  2. Beta

    Fair enough, as long as they don’t close the one near me ;)

    Sucks for the people who work in the stores that may be affected though. But at least the company isn’t gone completely.

    #2 2 years ago
  3. freedoms_stain

    HMV went expansion crazy when Virgin Megastores/Zavvi exited brick and mortar retail, a lot of ex-Zavvi stores were snapped up by HMV. That didn’t make a whole lot of sense to me.

    I think someone had a massive failure of judgement at that stage. No town or city needs 3 HMV stores in less than a miles radius, and that’s the sort of shit they were pulling. Especially not with the increasing competition from online.

    #3 2 years ago