* Sells off most of MAMA, 50 pct stake in Mean Fiddler
* Sold to Lloyds Development Capital for 7.3 mln stg
* Proceeds to be used to reduce debt
* Talks ongoing for disposal of remaining live business
LONDON, Dec 3 Struggling British entertainment
retailer HMV sold off a further chunk of its live
business on Monday to cut debt and said more disposals would
HMV, famous for its Nipper the dog trademark, is battling
declining music, DVD and games markets and is focused on
shifting to growth areas such as new technology products, as
well as selling off non-core parts of its business.
The firm said it had sold MAMA Group and a 50 percent
interest in ticket seller business Mean Fiddler to a subsidiary
of Lloyds Development Capital for 7.3 million pounds ($11.70
million) although 3.5 million of it will be deferred for a year.
HMV bought MAMA in 2010 for 46 million pounds.
Proceeds from the sale of MAMA, which owns London venues
such as the HMV Forum and the Jazz Cafe, as well as festivals
including Lovebox and Global Gathering, would be used to pay
down debt, HMV said, which stood at 166.7 million pounds at the
end of its 2011-12 year.
Talks to sell the G-A-Y and Heaven clubs - the remaining
parts of its live business - were ongoing, it added.
The sale follows the disposal of its London Hammersmith
Apollo live entertainment venue in May for 32 million pounds - a
move which allowed the group to amend and extend its existing
220 million pound bank facility.
HMV, which made a loss of 16.2 million pounds last year has
forecast a return to profit in the 2012-13 year, reflecting
disruption to rival computer games retailer Game and better
terms with key suppliers.
It is expected to publish half-year results before
Shares in HMV were down 6 percent at 2.425 pence, valuing
the business at about 10 million pounds.