EMI spins off HMV record store chain

Music co gets $820 mil from partner Advent

LONDON — EMI Group has concluded negotiations to spin off its HMV record store chain into a new company called HMV Media Group, a joint venture between EMI and the private equity group Advent Intl. Corp. The deal should be finalized by March 31.

EMI will receive as much as $820 million through the sale but will retain approximately 45% of the new company. The remaining shares will be owned by Advent and the management of the joint venture.

The company — which will be floated in two or three years time, according to an EMI rep — includes HMV as well as the Dillons and Waterstone’s bookstore chains. Dillons was a part of HMV Group, Waterstone’s is being acquired from the retail chain WH Smith Group for $490 million.