HMV will be going into administration tomorrow, after failing in efforts to secure a £300 million in financing to pay off bank debt and restructure.
The company has been struggling for some months and earlier this month HMV asked its suppliers for approximately £300 million in additional financing, to no avail.
In December, the company warned that it was about to breach its banking covenants, which caused its shares to plummet some 40 percent on the day.
At press time, a spokesperson for HMV had not responded to Billboard.biz’s request for comment. We will have more on this story shortly.