Borders in emergency talks

High street books and CD chain Borders is holding emergency rescue talks as it fights to stay in business. The group, which also includes the Books Etc brand, is understood to be in discussions with firms including Waterstones’ parent HMV as fears mount it could be forced to call in administrators this week.

WH Smith is believed to have walked away from a takeover deal on Friday, dashing hopes that it would secure a sale of the bulk of its store portfolio to the retailer. Borders - bought in July under a private-equity backed management buyout - was thought to have been looking to offload 36 of 45 stores to WH Smith.