HMV said that the money will be used to further reduce the group's net debt, with much of the proceeds from the recent £53m sale of book chain Waterstone's being used to the same end.

HMV CEO Simon Fox said the sale to Hilco was "the correct decision for the business at this time, whilst reducing the operating leverage in the continuing group".

"Having received shareholder approval for the disposal of Waterstone's and with a refinancing in place, the group ...