LONDON (AP) — Music retailer HMV yesterday announced plans to enter the live music market, taking over major concert venues and becoming a ticket seller for events, as it reported largely flat sales over the Christmas holiday period.

As digital music sales continue to eat away at the CD market, HMV said it has agreed to form a joint venture with Mama Group PLC that will own 11 venues across Britain — including the Hammersmith Apollo, The Forum and The Garage in London. HMV also said it is teaming up with booking agency Seatem to sell tickets as it posted a 0.5 percent rise in underlying sales for the five weeks to January 3 and said it was on track to meet full-year expectations. Banking on continued demand among the public for concert tickets as in-store sales fall away, HMV said it plans to raise around 30 billion pounds, or five percent of its total equity, from shareholders to pay for the deal. The fund raising will also support its decision on Wednesday to buy 14 stores from collapsed retailer Zavvi.

The company, which also operates the Waterstone's chain of bookstores, estimates that the live music market in Britain is worth around $1.5 billion, plus the potentials for tie-ins via ticket sales, CD sales and other merchandising.

"Music is very much part of our DNA, and by extending the HMV brand into the growing live music and entertainment market, our customers will be able as never before to access and experience music in all of its forms via HMV," said chief executive Simon Fox in a statement.