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Mike Ashley Sells £200m Stake

8 years ago
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Last night it was revealed news of Mike Ashley raising over £200m by selling shares in part of his empire.

The Newcastle United owner has sold 25m Sports Direct shares to Goldman Sachs for a sum believed to be in excess of £200m, this though still leaves Ashley’s SD shareholding worth over £3billion.

The move has had business analysts suggesting it is some kind of backlash against the City because institutional investors didn’t support his proposal last week to award himself a bonus of around £70m in Sports Direct shares.

Any Newcastle fans living in blind hope that this selling of shares in one part of Ashley’s empire will somehow benefit the Newcastle United outpost, were surely crushed by the statement only hours earlier from the football club.

NUFC’s public statement revealed that Mike Ashley had been appointed to the football club board but that news was hidden away underneath their headline of club secretary now given the title of Managing Director.

The quotes in the statement then attributed to Lee Charnley, made clear once again the message from the club that the intention was only to buy one or two players a year, bring young players through blah blah blah.

In other words, no deviation from the model of Newcastle United’s role being simply to promote the rest of Mike Ashley’s empire via NUFC, while spending as little money as possible.

No doubt Ashley will be using his £200m+ windfall for more Monopoly style wheeling and dealing in buying up struggling businesses/brands, while Newcastle fans are left wondering just when will there be light at the end of the tunnel in his not so slow suffocation of Newcastle United’s ambitions.

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