New dawn for HMV as Sunrise rescues chain

Dundee branch among those to stay open as Canadian retailer steps in

The Dundee branch of HMV will not close after the chain was acquired out of administration by Canadian retailer Sunrise Records, safeguarding the future of nearly 1,500 staff.

Sunrise, which is owned by Doug Putman, beat off competition from the likes of Mike Ashley for the stricken retailer and will acquire 100 stores across the UK.

However, 27 unprofitable stores – including three Scottish stores, two in Glasgow and one in Ayr – will close with immediate effect, resulting in 455 redundancies.

Mr 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.”

HMV became the first high street casualty after Christmas when its then owner Hilco called in corporate undertakers in December.

Will Wright, partner at KPMG and joint administrator, said: “We are pleased to confirm this sale which, after a complex process, secures the continued trading of the majority of the business.”