Music business HMV has been bought out of administration by Canadian retailer, Sunrise Records, beating billionaire retailer, Mike Ashley.
While 27 stores with little or no profit will close, including HMV’s flagship store on Oxford Street, the firm will buy 100 stores in a move which secures 1,487 jobs.
Sunrise Records Chief Executive and Canadian entrepreneur Doug Putman, says: “We are delighted to acquire the most iconic music and entertainment business in the UK and add nearly 1,500 employees to our growing team.
“By catering to music and entertainment lovers, we are incredibly excited about the opportunity to engage customers with a diverse range of physical format content and replicate our success in Canada.
“We know the physical media business is here to stay and we greatly appreciate all the support from the suppliers, landlords, employees and, most importantly, our customers.”
Mike Solomons, Partner at restructuring, recovery and insolvency specialist firm BM Advisory, a Beavis Morgan group company, comments: “As the HMV situation has proved, spreading the marketing effort as wide as possible, but in a targeted manner, can allow for interested parties internationally to secure value where domestic buyers see little. Using a network of independent firms nationally and internationally, and targeting various channels including high net worths, it is possible to secure positive outcomes for distressed situations.
“If you or your clients are in a similar situation, we recommend seeking professional advice at the earliest possible opportunity to explore the options available. Talk to us today – the sooner you do so, the more options there will be able to you.”
If you or a client are experiencing financial difficulties or have any concerns relating to your finances, our experts at BM Advisory are available to assist. Contact Mike Solomons or Andy Pear to arrange an initial confidential consultation which will be free of charge and without obligation. Together we will discuss your individual situation and advise on the best course of action.
It is also essential that UK SME business owners maintain effective management of their company’s working capital and put processes in place to survive and thrive in challenging times. Our specialist advisers at Beavis Morgan are on hand to provide guidance and strategic advice to help in formulating plans for your business in order to strengthen its prospects of success, achieve growth and maximise wealth. For more information, contact Steve Govey or your usual Beavis Morgan Partner.