HMV, the British entertainment retail company, is coming to the Middle East.
Hilco Capital, the owner of HMV, has teamed up with Qatar’s Al Mana Lifestyle to open up to 15 HMV stores across the region. The joint effort will make HMV a regional competitor to Virgin Megastore, which has 14 outlets across the Middle East.
The deal announced yesterday will enable Al Mana Lifestyle to open stores in Qatar, Bahrain, Kuwait, Oman and the UAE. Al Mana will also be seeking additional licensing partners for HMV in Egypt, Algeria, Tunisia and Morocco.
“We are pleased to have partnered with HMV,” said Kamal Al Mana, the executive director of Al Mana Lifestyle. “We believe there is considerable opportunity to develop a strong retail business under the brand in the Gulf region.”
Al Mana Lifestyle is an affiliate of the Qatari Al Mana group, with branches throughout the region operating more than 300 retail outlets as well as units in car distribution, real estate, food services and entertainment.
HMV was founded in 1921 and quickly became a staple of the UK high street.
However, it entered administration, facing bankruptcy, in 2013 as the digital revolution in video downloads and music streaming ate into its bottom line. Hilco took over HMV in 2013 and has reversed the decline.
In January this year, HMV overtook Amazon to become the largest retailer of physical music in the UK.
“Following the successful turnaround of HMV in the UK, Ireland and Canada, we are delighted to have agreed a licensing arrangement with Al Mana,” said Paul McGowan, the chief executive of Hilco Capital. “Al Mana has a proven and immensely successful track record in retail in the region, and we look forward to working with them to establish and grow the HMV business.”
ascott@thenational.ae
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