Wednesday, November 22, 2017

Asda in talks to acquire HMV

13

Supermarket Asda is in talks with HMV administrator Deloitte to potentially bid to buy the ailing business and save it from disappearing from the high street, it is understood.

With 120 stores remaining unsold within its portfolio, HMV is said to be keen to finalise a deal in the next fortnight ahead of its expected “huge” rent bill, according to The Sun.

Some 2,400 staff remain employed by HMV since it began closing stores following its collapse into administration at the start of the year, with restructuring specialists Hilco also expressing interest in acquiring the brand.

Grocery rival Morrisons announced last month that it had acquired six former HMV stores to convert to M Local units as it expands its convenience offer while Wal-Mart owned Asda is likely to maintain the entertainment business in its current form as part of the “sensational deal”.

A City source told the newspaper: “Asda has been looking at HMV and it‘s not about taking on a few stores to convert into supermarkets.

“They‘ve been looking at taking on the brand — the business.”