Entertainment retailer HMV has been acquired by Canadian music retail mogul Doug Putman.

Putman, the owner of music retailer Sunrise Records in Canada, has taken control of 100 HMV shops, preserving 1,500 jobs following the business’s collapse into administration at the end of last year.

However, 27 HMV branches will shut immediately, with the loss of 455 jobs. 

Putman, who previously bought HMV’s Canadian business, said he was confident in HMV’s future despite the rise of online retail.

He 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.”

KPMG partner and HMV joint administrator Will Wright said: “We are pleased to confirm this sale which, after a complex process, secures the continued trading of the majority of the business. Our immediate concern is now to support those employees that have unfortunately been made redundant.”

Putman saw off competition from Sports Direct owner Mike Ashley, who also hoped to buy HMV. 

HMV collapsed in December when former owner Hilco blamed a “tsunami” of challenges, including the burden of business rates.

HMV sold to Canadian music retail tycoon