Zavvi’s former chief executive Simon Douglas has bought eight stores from administrator Ernst & Young and plans to rebrand them under the fascia Head.
The brand name Zavvi will cease to exist.
HMV has also bought another five stores, to add to the 14 it purchased earlier in the year. In total 380 employees will have transferred from Zavvi to HMV.
Douglas – along with Les Whitfield, managing director of entertainment chain Impulse – acquired the Zavvi stores through Head Entertainment. Five stores have been bought and the remaining three are expected to complete by February 20. In total, 249 jobs will be saved.
Head is expected to trade the stores using the stock purchased in the deal, and from other sources in future. Head’s five confirmed stores are at Bluewater, Dundee, Leeds, Liverpool One and Manchester Arndale.
Ernst & Young joint administrator Tom Jack said: “This is a fantastic result for the employees and customers.”
The administrator said the sale of all remaining stock means that “Zavvi trading will now cease”, resulting in the closure of the remaining 18 Zavvi stores by February 20, and the loss of 446 jobs.
Earlier this month, Retail Week revealed Douglas had made a bid for parts of the company (February 6).
Formerly known as Virgin Megastores and owned bySir Richard Branson, Zavvi was bought out by directors Simon Douglas and Steve Peckhamin 2007.
Zavvi collapsed into administration in December. Its future had been in jeopardy ever since its main supplier – Woolworths’ entertainment arm EUK – hit the buffers at the end of November.