HMV

HMV has been saved from administration by Canadian music retailer Sunrise Records.

Sunrise chief executive Doug Putman said he was “delighted to acquire the most iconic music and entertainment business in the UK”.

The deal will see 100 of HMV’s 127 stores saved, securing nearly 1,500 jobs. However, 27 of its stores will close immediately with over 450 jobs lost.

At the time of writing, it is not yet known which stores will close. Administrators KPMG said they would be informing staff whether or not their store would be closing this morning.

Speaking to BBC Radio 4, Doug Putman, said: “I feel really lucky to be able to say we [will] continue to call it HMV.”

Mr Putman purchased HMV’s Canadian business in 2017 and rebranded those stores to Sunrise Records. When reports of Putman’s interest surfaced, there were concerns that he could take the same measures here.

He added: “It is very clear that the customer wants more selection on vinyl, more depth of catalogue.

“There’s no doubt that online is a big part of overall retail sales. But people like to come into a store, have an experience, talk with someone who understands music, loves music, loves video and entertainment. If you think online is the only future I don’t think that is the case.

“There is so much you get from coming into a store that you can’t get online.”

HMV fell into administration in December, it’s second in six years. The retailer sold 31% of physical music bought in the UK in 2018, and 23% of all DVDs/Blu Rays, and actually increased its market share. However, figures from the music industry suggest physical sales of music and DVDs to drop my as much as 17% in 2019.