HMV Canada will close all of its stores HMV Canada will close all of its stores | RetailDetail

HMV Canada will close all of its stores

HMV Canada will close all of its stores

The Canadian branch of home entertainment chain HMV Canada has been placed under receivership: its stores will most likely close by 30 April as it lacks the financial means to continue.

Huge debt

A Canadian judge has placed the struggling company under receivership after HUK 10 had filed for such an arrangement. The company had lent HMV Canada money, but was not repaid since November, despite a 39 million dollar loan. According to court filings, HMV Canada was losing 100,000 Canadian dollars (70,000 euro) per day because of increased online competition. In total, the company would require between two and five million dollars (1.5 – 3.5 million euro) to stay afloat for another year.

 

The court has now ordered Gordon Brothers Canada ULC and Merchant Retail Solutions ULC to take control of the matter and sell all of the company’s remaining merchandise. 102 stores will be closed and 1,340 people will lose their job. HMV Canada is a former subsidiary of HMV Retail, a UK-based chain that went bankrupt in 2013 but survived thanks to its new owner, Hilco UK.

Questions or comments? Please feel free to contact the editors


Gerelateerde items

Ceconomy sells its Russian division

21/06/2018

Ceconomy, MediaMarkt's parent company, has sold its onerous Russian division to local electronics chain M.video. The German electronics giant does not quit Russia altogether however, as it continues as shareholder of M.video.

LVMH's Bernard Arnault invests in refurbished phones

14/06/2018

BackMarket, a French start-up that wants to be a marketplace for refurbished smart phones, tablets and laptops, has secured a 41 million euro investment. The most famous new investor is Bernard Arnault, CEO of luxury group LVMH.

Coolblue closes hundreds of web shops

11/06/2018

Dutch e-commerce group Coolblue has terminated hundreds of its web shops, instead preferring one central web shop at coolblue.be/nl. This may be the precursor to an international expansion, the company says.

Xiaomi's European conquest goes through Paris

23/05/2018

Chinese smartphone manufacturer Xiaomi just opened a physical store in Paris, part of its ambitious European expansion plan. The brand is also dreaming of an American launch.

Fnac Darty and MediaMarkt Saturn enter purchase alliance

16/05/2018

French electronics retailer Fnac Darty has set up a purchase alliance with competitor MediaMarkt Saturn. Both companies will buy together when it comes to the European retail market.

Amazon looking to outbid Walmart in Flipkart deal

03/05/2018

The battle for dominance on the Indian e-commerce market seems to be stepping up a notch: Amazon may be looking to buy a majority stake in Flipkart, trying to better Walmart which already started negociations with the Indian online retailer.