LDC will invest in the company, which trades as musicMagpie.co.uk, alongside Allan Leighton, the former head of Asda and Royal Mail, who will become chairman. The amount of development capital invested has not been disclosed.

Founded in 2007 by Steve Oliver and Walter Gleeson, the Macclesfield-based company has become the largest operator of its kind in Europe. It now employs more than 500 people and operates in 80 countries.

musicMagpie.co.uk buys CDs, DVDs and games direct from consumers. Items and materials purchased are then sold through a range of online, retail and wholesale channels with a large proportion traded internationally.

According to a statement from LDC, the investment will enable the business to ramp up its international online purchasing and sales capabilities and fund the launch of a series of consumer marketing campaigns in central European countries. The company also plans to further invest in its information technology systems.

musicMagpie.co.uk chief executive Steve Oliver comments that the next phase of international expansion has begun with the launch of a German website, which is already showing ‘encouraging results’.

Leighton adds, ‘I look forward to working with the business’s dynamic and entrepreneurial management team, who have positioned the business well for the next phase of growth that will see the company accelerate its international sales and increase its share of the UK replay CD, DVD and games categories.’