Consortium Aims to Rescue HMV
posted on by Andrew Osmond
The Independent newspaper reports that Hilco UK, a restructuring firm, is leading a consortium to rescue HMV. According to the Independent, Hilco has the support of Universal Music, Warner Music, Sony Pictures and 20th Century Fox.
The paper claims, "They are understood to be willing to trim the prices of CDs and DVDs as well as offer the 223-store retailer more favourable credit terms to help it maintain its 92-year presence on the high street.'
Hilco previously acquired HMV's Canadian operations in 2011.
The Independent also names the private equity firms Endless and Better Capital, the restructuring company Gordon Brothers, and the games retailer Game, as interested in rescuing parts of HMV.
The report concludes, "Any rescue deal is likely to be complex due to the large and powerful supplier base, the fact that HMV collapsed with debts of £176.1m, and that it has a number of loss-making stores."
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