Newcastle United and Sports Direct Chairman Mike Ashley has bought a significant share in struggling retailer JJB Sports.
Sports Direct head Mike Ashley, has bought a near 5 per cent stake in JJB Sports. The move suggest the possibility of an increasingly close relationship between the two big sports retailers, could be on the books.
JJB have suffered financially recently, so the injection of cash from Ashley is much needed. The cash is said to be used for general working capital purposes and to strengthen JJB’s financial
JJB, who has seen its share price plummet, is headed up by Chris Ronnie, who formerly worked for Ashley at Sports Direct. It was thought that Ashley helped Ronnie fund the purchase of former JJB owner Dave Whelan’s shares.
Meanwhile Mike Ashley is still looking for a buyer for Newcastle United.