Tycoon in court fight with House of Fraser
Mike Ashley’s Sports Direct has launched legal action against House of Fraser.
It casts further doubt on the Scottish department store chain’s future.
The sports retailer owns an 11.1% stake in the store, which opened its first shop in Glasgow in 1849.
The former Rangers shareholder is claiming that his firm has been “repeatedly denied information to which it is legally entitled”.
According to a petition lodged with the High Court in London on Friday by Sports Direct subsidiary West Coast Capital, the billionaire is seeking an injunction requiring House of Fraser to provide a copy of its corporate plan.
It comes after a tumultuous few weeks for House of Fraser.
Last week, it was confirmed that C.banner, the Chinese owner of Hamleys, is to take majority ownership of the group and will oversee a sweeping store closure programme with 59 stores in danger.
But the move has infuriated Sports Direct.
Liam Rowley, head of strategic investments at the retailer, said: “We have been frozen out by House of Fraser. Their dealings in China are opaque, and it is blatant that we have been unfairly prejudiced.
“We have no option other than litigation to protect the interests of Sports Direct.”