Blockbuster looks set to go into administration, with the possibility of 4000 jobs being lost.
Deloitte, who was announced as the administrator for HMV, has also been appointed for Blockbuster, Sky has revealed.
The news comes only a month after Live & Breathe was appointed to handle the consolidated marketing roster for the brand, with the aim of developing its offering.
In a statement, Deloitte's Lee Manning said: “We are working closely with suppliers and employees to ensure the business has the best possible platform to secure a sale, preserve jobs and generate as much value as possible for all creditors," he said in a statement.
"The core of the business is still profitable and we will continue to trade as normal in both retail and rental whilst we seek a buyer for all or parts of the business as a going concern.
"During this time gift cards and credit acquired through Blockbuster’s trade-in scheme will be honoured towards the purchase of goods."
More to follow.