Woolworths to sell DVD ops to BBC Worldwide

Retailer on brink of administration

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26 November 2008 13:33 GMT / By Katie Scott

It's already stopped selling CDs but now highstreet retailer Woolworths is about to make another drastic move to save itself.

According to Media Week, it is going to sell its DVD publishing operation to BBC Worldwide.

The retailer's shares have apparently been suspended while it bashes out what could be a £100m deal.

Woolworths currently owns 40% of 2entertain, which publishes DVDs including Doctor Who and Blue Planet, but the rest is owned by BBC Worldwide.

Adds Media Week: "The company's directors are also trying to reach a deal with Hilco UK, the US restructuring specialist that has offered to buy its 840-store retail business and take on a large part of the company's debt".

However, everything hinges on the agreement from Bank of Ireland subsidiary Burdale Financial and GMAC Commercial - who are the lenders of the company's £385m debt.

If the lenders say no, Woolworths could face going into administration.