HMV Group has confirmed the sale of MAMA Group Limited and its subsidiaries - plus its separately held interest in 50% of Mean Fiddler Group Limited - to Juno Newco Ltd.
The buyer is a wholly owned subsidiary of Lloyds Development Capital Limited.
Interestingly, Juno Newco Ltd. has registered offices at 59-65 Worship Street, London - the same as MAMA Festivals Ltd. and Lovebox Festivals Ltd., indicating a management buyout may have taken place, backed by Lloyds capital.
MAMA Group owns businesses including London's HMV Foum in Kentish Town and the HMV Ritz in Manchester, plus festivals such as Lovebox, Great Escape and Global Gathering. It also owns the Camden Barfly and music magazine The Fly.
The sale of MAMA does not include the sale of G-A-Y Group Limited and Heaven (London) Limited, which will be the subject of a separate transaction, discussions for which are ongoing.
The net cash consideration for the sale of MAMA is £7.3m of which £3.5m will be deferred for 12months. The proceeds of the sale will be used to reduce HMV's debt.
This sale is a further step in the disposal of the HMV Live Business and follows the disposal earlier this year of the Hammersmith Apollo, which was sold for £32m.