HMV on the verge of £50m rescue deal with Hilco

Sky News has revealed that HMV, the British music and video retail chain, is on the verge of being rescued in a £50m deal that will preserve 2,500 jobs.
Hilco UK, which has been operating in Europe for over 10 years, was founded out of a partnership between UK Management and the Hilco Group in the US, the global leader in distressed retail investment and advisory services. Hilco also already runs HMV in Canada and has worked with music labels to secure new releases for HMV’s UK stores.

Sky News' City Editor, Mark Kleinman, reveales "Hilco, the specialist restructuring firm, is poised to sign a binding agreement to secure HMV's future following weeks of speculation that the chain and its historic logo could disappear from high streets."
Kleinman reports that "Hilco will acquire roughly 130 HMV-branded stores, and all nine of the outlets which operate under the cut-price music brand Fopp."

Hilco has long been seen as the frontrunner to take control of HMV and the restructuring specialist tightened its grip on the company in January, buying up the 92-year-old group's debt soon after it sought creditor protection.

It has also been appointed to help administrators Deloitte run the business during the administration.
For the full Sky News report click here.