HMV heads into administration, 4000 jobs at risk

-

According to reports via The Financial Times, music and entertainment high street chain HMV is set to go into administration.

Late last week, HMV asked its suppliers for approximately £300m in additional financing to help pay off its debt and fund an overhaul of the company’s business model. The proposal has been turned down and it is expected that Deloitte are soon to be appointed as HMV’s administrators.

The companies directors were locked in emergency talks late last night and have released the following statement this morning:

“The board regrets to announce that it has been unable to reach a position where it feels able to continue to trade outside of insolvency protection and in the circumstances therefore intends to file notice to appoint administrators to the company and certain of its subsidiaries with immediate effect.”

The chain employs around 4,000 workers and has 230 UK stores.