Mike Ashley puts forward proposal to change Sports Direct to less toxic name
In a surprise move, Mike Ashley has put forward a proposal to get rid of the Sports Direct name.
A shareholders ballot will be held in exactly three weeks time (Monday 16 December 2019).
The proposed new name is ‘Frasers Group’, with the change to become effective immediately on that day, if voted through.
Mike Ashley/Sports Direct say that the different name is to reflect ‘the changing profile and consumer proposition of the group.’
With the Newcastle United boss owning around two thirds of the shares, the name change looks a formality, unless far more than a simple majority vote is needed for it to happen.
My instant thought and I’m sure most of you will be thinking the same, the name change is surely simply because Sports Direct has become synonymous with so many negative perceptions. Whether it is treatment or staff, treatment of customers, poor quality of much of the stock, as well as the jumble sale layout of the SD stores.
If the name change goes ahead, no doubt that will be the Newcastle United January transfer kitty blown.
As changing all of the Sports Direct branding at St James Park, the training ground, on club website and social media etc will cost a fortune.
I can’t say I’m too impressed either with the idea of a ‘Frasers Group Arena’, you can never rule anything negative out when Mike Ashley is in charge.
Sky News report:
‘Sports Direct International, the retail firm founded and run by Mike Ashley, has tabled a shareholder vote to change to its name.
The FTSE 250 company said it planned to be known as Frasers Group from next month.
The move reflects the expansion in the company’s interests since Mr Ashley became chief executive just over three years ago – with House of Fraser (HoF) the biggest name.
Sports Direct said the ballot would be held on Monday 16 December and, if passed, should become effective later that day.
The name change, the company said, reflected “the changing profile and consumer proposition of the group”.
In other words: Mr Ashley’s desire for HoF to become the “Harrods of the high street.”
Its statement said: “The proposed group rebrand follows the recent announcement to bring its inspirational new luxury lifestyle stores, Frasers, to the high street within the next financial year.’
(All comments welcome below as to what you think SD should be renamed as, try and keep it clean please…)
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