Newcastle United and Sports Direct billionaire Mike Ashley saves House of Fraser in £90m deal
Mike Ashley, billionaire owner of Sports Direct and Newcastle United FC, has bought House of Fraser for £90m in cash.
House of Fraser collapsed into administration this morning (August 10), however billionaire entrepreneur Ashley has saved the 169-year-old department store chain in a huge agreement.
The news was released on the London Stock Exchange, revealing that Sports Direct has acquired all of House of Fraser’s UK stores, its brands and stock.
Ashley has held an 11 per cent stake in the business since 2014, and he also owns almost 30 per cent of its main competitor, Debenhams.
Without Ashley intervening, House of Fraser’s collapse would have been one of the worst failures for the UK’s high street in recent times.
This year alone, Toys R Us, Poundworld and Maplin have fallen into administration, accumulating in thousands of lost jobs.