Ashley in bid to take control at Debenhams

deputy finance boss Chris Wootton in an acting capacity.

It would cement his position as one of the most powerful players on the high street, having already acquired House of Fraser and Evans Cycles last year.

Neil Wilson, analyst at Markets. com, said the move suggested an impending tie-up between House of Fraser and Debenhams.

“One wonders why Ashley does not simply go the obvious route and bid for Debenhams and combine into the House of Fraser rump,” he said.

“The rationale for tying these companies together is clearly compelling. If the coup fails, he will surely launch a takeover.

“If it succeeds he will be able to tie up the operational side and shore up finances from his own resources. Whether this boardroom coup fails or not, there is surely only one outcome from all of this: Mike Ashley will get what he wants.”

In January, Mr Ashley teamed up with fellow shareholder Landmark to eject Debenhams chairman Sir Ian Cheshire and chief executive Sergio Bucher from the board.

The shock announcement comes just days after Debenhams issued its latest profit warning.

It warned that trading headwinds, efforts to put the group on a secure financial footing and macroeconomic uncertainties are hitting the company hard.

Meanwhile shares in Sports Direct slipped as much as 2.6 per cent yesterday.

Laith Khalaf, analyst at Hargreaves Lansdown, said: “Such an unnecessary change of CEO looks somewhat disrespectful to other shareholders of Sports Direct, but then those who hold the stock must surely have already come to terms with Mike Ashley’s unorthodox style.”