The Business News Source

By the end of last week HMV was being touted as the most shorted stock on the London Stock Market. The weekend news was full of gloom about the company. It seemed that HMV was, just like Superman, trapped and doomed - then we switch to the next week and suddenly - just like Superman the company bounds free in an instance. Whilst we may not fully be seeing the creation of a new superhero stock, certainly HMV seems to have bounded free in an instant.

Check the reports:

HMV Group has now sold its considerable interests in Japan, a move that pulls the retailer from an incredibly important music market.  According to deal terms revealed Tuesday, HMV is selling its 62-store footprint to Daiwa Securities Group and Sumitomo Mitsui Financial Group for ¥17 billion (£71 million, $144 million, €106 million).  The all-cash deal is expected to close by September, and will allow the beleaguered HMV to pay down debt and focus on core markets.   "The sale enables the group to focus on the markets where it has market-leading positions,” chief executive Simon Fox said.  "The proceeds will be used to pay down the group’s debt, which is an important step towards meeting our medium-term leverage targets."

and then

LONDON  - Music retailer HMV was on song Tuesday, helped by buoyant equity markets and company bosses picking up shares not far from all-time lows. Chief executive Simon Fox paid £198,000 for 183,233 shares at 108.23p each, taking his stake in the group to 249,194.  Meanwhile, non executive chairman Carl Symon forked out almost £27,000 for 25,000 at 107.5p a pop. He now owns 101,392 shares in total.

Execs investing in companies is always seen as a positive move by the markets - so perhaps there is more to Simon Fox’s turn around plan than the market initially thought.

and then …

An outlet of music and book retailer Fopp is set to reopen in the city after the chain was bought by HMV. The high street giant vowed to maintain Fopp’s "unique identity and trading culture" after it struck a deal to buy six stores, including one in Edinburgh.

Next we’ll be hearing that HMV are removing DRM from their download site. [they are].

The retail market is a tough place at the moment, even more so for record stores - let’s hope that Harry Potter sales can sprinkle some magic into HMV’s performance.