Iconic British music retailer HMV on Monday announced that it will appoint an administrator, raising fears of more than 4,000 job losses. Consulting firm Deloitte will manage the struggling chain as it seeks to attract possible buyers.
"The board regrets to announce that it has been unable to reach a position where it feels able to continue to trade outside of insolvency protection," said a statement issued.
Administration is the process whereby a troubled company calls upon independent expert financial help in an attempt to remain operational.
HMV added that the board "understand that it is the intention of the administrators to continue to trade whilst they seek a purchaser for the business."
The 92-year-old institution employs around 4,350 staff, but has struggled to meet the challenge of online retailing and digital downloading and has been teetering on the brink for many months.
The company's shares on the London Stock Exchange were suspended on Monday.