As a teenager growing up in Canada, HMV was always a CD store you could count on to have a decent selection of music. I haven’t bought music there for a long time, but DVD sales seemed to have kept the store alive.
But it appears that times have been hard on all physical formats because after announcing the 4th “profit warning” (loss) HMV has been sold for a paltry 3.2 million dollars.
The move by the 90-year-old firm to sell the Canadian business’s 121 CD and DVD stores comes days after HMV’s shareholders backed the disposal of its Waterstone’s book chain to Russian billionaire Alexander Mamut.
Earlier this month HMV secured its immediate future with a $351-million US refinancing deal that will effectively involve the British taxpayer taking a stake in the group.
“The board has fully explored the options available to it for HMV Canada, and believes that a sale to Hilco is the correct decision for the business at this time, whilst reducing the operating leverage in the continuing group,” said Chief Executive Simon Fox.
“The group is focusing on clear and tightly defined plans for transforming HMV into a broad-based entertainment business.” (Via Vancouver Sun)