HMV enters live music market and snaps up 14 Zavvi stores
HMV’s move will see London’s Hammersmith Apollo change its name to the HMV Apollo.
HMV said late yesterday it had agreed a joint venture with MAMA Group Plc that will own 11 of the British music and marketing firm’s venues.
HMV reported a 0.5 per cent rise in underlying sales for the five weeks to Jan 3 and said it was on track to meet full-year profit expectations.
It also said it had agreed to buy 14 stores from the administrators of stricken rival Zavvi and that it would pay for the deal, as well as the creation of the joint venture, by placing up to 20 million shares, or 5 per cent of the total.
‘Music is very much part of our DNA, and by extending the HMV brand into the growing live music and entertainment market, our customers will be able as never before to access and experience music in all of its forms via HMV,’ Chief Executive Simon Fox said in a statement.
