Blockbuster moves to finalise sale of Xtra-vision

CONTRACTS ARE believed to have been signed for the sale of entertainment chain Xtra-vision to a domestic investor.

Xtra-vision has been owned by US-based Blockbuster for the past 12 years but was recently slated for sale. The identity of the buyer is unclear, but an Irish investment house is likely to have been involved. The terms of a deal are understood to have been finalised on Wednesday.

Blockbuster, a worldwide chain of entertainment outlets, has been considering the sale of its non-US assets for some time, with businesses not operating under the parent’s name the main focus.

A spokesman for the Dallas-based company did not respond to calls yesterday. Blockbuster managing director Martin Higgins was also unavailable.

It is considered possible that Mr Higgins would remain with Blockbuster’s European business after the Xtra-vision sale has been finalised. Filings made to the Companies Office show that a number of charges have been satisfied by Xtra-vision over the past two months, a move which would sensibly precede a sale.

Xtra-vision has almost 1,600 employees, and operates from 200 outlets across Ireland.

The latest accounts for the company show a fall of almost 25 per cent in profits between 2006 and the start of 2008. The firm was founded by former motorcycle courier Richard Murphy in 1982 and was briefly listed on the Iseq.