Report: Hilco Buys HMV's Debt from Lenders
Has HMV been saved less than a week after going into administration?
When news broke last week that HMV had entered administration, it was made clear that the brand's Canadian operations would not be affected by the news. HMV's Canadian stores remain unaffected thanks to the sale of the Canadian stores to private equity firm Hilco last year. As a result of this deal, the Canadian stores are no longer a part of HMV Group PLC. This means they'll remain open despite the fact that the fate of their UK counterparts remains undecided.
However, an interesting development could see the stores joined once more. CVG cites the Financial Times in reporting that Hilco may end up owning HMV UK as well. Apparently, Hilco has reportedly bought HMV PCL's debt from its lenders. Sources told the Financial Times that the move will offer stability while Hilco and Deloitte work on a plan for HMV going forward.
HMV opened in 1921 and operates over 270 stores across eight countries. Deloitte announced that HMV would once again be honouring gift vouchers. Last week, Deloitte had said it would not be accepting gift cards from customers.