Hundreds of jobs lost as retail entrepreneur Mike Ashley loses bid on HMV to Canadian counterpart

HMV has been snatched out from under Mike Ashley, the Derby high street entrepreneur, after a deal was accepted for the company put forward by Doug Putman, the CEO of Canada’s Sunrise Records.

The firm, which Derby’s retail entrepreneur Mike Ashley was widely reported to be bidding on, will now see 27 stores close, costing 455 jobs.

HMV fell into administration after poor Christmas trading, the downturn in general blamed on the popular rise in downloading music and videos, as oppose to purchasing CD’d and DVD’s. However, Doug Putman is convinced that the physical media business is here to stay.

Mike Ashley was hopeful that he might be able to add HMV to his growing list of high street acqusitions, but Canadian CEO Doug Putman managed to put forward a better deal it seems, although he appears to be staying tight lipped about the sums involved.

Putman said: “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.”