The owner of the O2 arena, AEG, is bidding to acquire HMV’s live music business for about £65m.
HMV put its live business up for sale last December to help it reduce its mounting debts. HMV Live includes 13 music venues, such as the Hammersmith Apollo, and five music festivals, including Lovebox and Global Gathering.
HMV Live is the most profitable part of the struggling entertainment retailer’s business. In the 26 weeks to October 29, HMV recorded a loss from continuing operations, before tax and exceptionals, of £36.4m. However, its live business more than doubled operating profit to £3.4m over the period.
Along with AEG, venue operator Academy Music Group and private equity firm Oakley Capital are understood to be amongst the firms which submitted first round bids.
City analysts believe HMV Live is likely to be worth between £60m and £120m.