Ashley poised to battle Matalan founder
BILLIONAIRE Mike Ashley could end up in a battle to take control of Matalan with its founder John Hargreaves, according to well-placed clothing industry sources.
The chain’s bondholders put it up for sale last month. Hargreaves stepped down as chairman and said he will try to buy the business.
That could put him head to head with Ashley who has been snapping up chains to grow his Sports Direct to House of Fraser empire.
One source who knows Ashley said he ‘will not be able to resist a pop at Matalan’ for a discount price. Another said that Ashley has ‘unfinished business’ with Matalan after he failed to strike a deal with Hargreaves to sell Sports Direct goods in his stores back in 2006.
It is not clear whether Hargreaves and Ashley are on speaking terms.
Bondholders are due to be repaid £350million of debt next year. They have offered to invest £200 million back in if a buyer can be found.