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Blockbuster UK to live on as buyer swoops in to save 264 stores

Blockbuster UK to live on as buyer swoops in to save 264 stores
Blockbuster gets a reprieve
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Let's be honest, some of Blockbuster's UK stores are starting to look like the set of a disaster movie before Will Smith saves the day, but thankfully the Fresh Prince won't be needed on this occasion.

Two months after the company went into administration, a buyer has been found in the form of restructuring film Gordon Brothers, who have picked up the firm for an undisclosed fee.

As part of the agreement, 264 of the company's 528 UK locations (that's half for those keeping score at home), will remain, while half of the company's 4,190 staff will also keep their jobs.

"This transaction provides Blockbuster a future in the UK," said Lee Manning, joint administrator for Deloitte.

Keeping the name alive

The surviving stores will retain the Blockbuster brand name, due to a licensing deal with the US satellite firm Dish Network, which owns the company, Reuters reports.

The new owners have vowed to "significantly" invest in stores (vacuuming would be a good start) and offer new products to serve the new marketplace that accounted for the company's demise in the first place.

"We acknowledge the industry is in transition; we know that we have a challenge ahead but there is still a market to be served," said Frank Morton, chief executive officer of Gordon Brothers Europe.