HMV administrator Deloitte has sold the collapsed entertainment retailer’s share in its G-A-Y bars and Heaven nightclubs signalling the end of its live division.

The clubs have been sold to G-A-Y founder Jeremy Joseph’s venture JJ is G-A-Y Ltd.

HMV sold the bulk of its HMV Live division including Hammersmith Apollo and Mama Group during 2012 to bolster the remainder of the HMV group.

Joseph said: “HMV made a strategic decision to sell certain businesses which included the sale of their shares in G-A-Y almost a year ago. I am delighted to have acquired 100% ownership of the business that I founded 20 years ago and to have secured the future of my 200 employees.”

Joint administrator Rob Harding said: “We are pleased to have completed the sale of HMV’s shareholding in G-A-Y to the natural purchaser of this stake so shortly after our appointment.

“This will benefit the creditors of HMV and we wish Mr Joseph the best in the beginning of a new era for G-A-Y.”