HMV plans to shift its store on Dublin's Grafton Street from its current location down to the site of the old Karen Millen outlet at number 27. In turn, H&M-owned & Other Stories will move into the HMV site.

Hilco Capital, which bought HMV after it collapsed into insolvency, said it would continue trading on its current site for the time being, where it will offer discounts to clear existing stock.

"It's important to maintain a high profile presence for HMV on one of the capital's busiest shopping streets, and the relocation of the Grafton Street store does just that," said Larry Howard, the managing director of Hilco Capital Ireland.

Hilco, a retail turnaround specialist, bought HMV and also Xtra-Vision, which also fell into receivership during the crash after struggling with upward only rents. The two outlets posted combined group sales of €95.2 million in Ireland during 2014, up 15 per cent on the previous year.