The UK music chain fell into administration last month.

Mike Ashley, founder of UK sports retailer Sports Direct, has placed a bid to buy music chain HMV following its collapse into its second administration in six years last month, reports BBC News.

Hilco, the company that owns HMV, cited that higher business rates and the rise in the use of streaming services for music and movies were to blame for the music chain’s first administration in 2013. When HMV fell into administration last month Paul McGowan, the executive chairman of HMV and Hilco, said HMV sold 31% of all physical music in the UK in 2018 and 23% of all DVDs, but added that industry consensus was that the market would fall by another 17% during 2019.

If Mike Ashley is successful in his bid to buy HMV, he would have the opportunity to merge the company with Game Digital, which Sports Direct owns a stake in. According to administrators from KPMG, a number of offers have been placed besides Ashley’s bid. HMV’s stores are continuing to trade while negotiations are held.

Read next: All the weird, innovative and dystopian new audio tech we’ll be using in 2019



Share Tweet