HMV in talks to cut debt by selling shops

The troubled music retailer HMV is in talks to sell a batch of its stores to pound shops and a sports retailer to reduce its mountain of debt.

Poundland and Pound World are negotiating to take five shops each, while JD Sports is interested in at least six. HMV, which owns the Waterstone's book chain and music retailer Fopp, is under pressure to sell parts of its business to reduce its debt, which stood at £151m in January. It has issued two profit warnings this year.