Mike Ashley (businessman)
Mike Ashley | |
|---|---|
| Born | September 9, 1964 Walsall, West Midlands, England |
| Occupation | Entrepreneur |
| Years active | 1982–present |
| Known for | Founder and former CEO of Frasers Group plc; former owner of Newcastle United Football Club |
Michael James Wallace Ashley (born 9 September 1964) is a prominent British entrepreneur in the retail sector, recognized as the founder and former chief executive officer of Frasers Group plc, previously known as Sports Direct International. He was the owner of Newcastle United Football Club from 2007 until 2021.
As reported by the Sunday Times Rich List in 2025, Ashley was ranked the 52nd wealthiest individual in the United Kingdom, with a net worth estimated at £3.12 billion. In August 2021, he revealed his intention to resign as CEO of Frasers Group by May 2022, while continuing to serve on its board of directors.
Early life
Born in Walsall, located in the West Midlands, in 1964, Ashley spent his childhood in Burnham. His father worked as a manager at a food distribution depot. Ashley attended Burnham Grammar School but left school at 16 to compete in squash at the county level before an injury led him to focus on coaching instead.
Career
At age 18 in 1982, Ashley launched his first sports and ski retail outlet in Maidenhead, funded by a £10,000 loan from his family. The business expanded swiftly throughout London and was rebranded as Sports Soccer during the late 1990s. Originally operating as a sole proprietorship, Sports Soccer transitioned into a limited company by 1999. In November 2006, Ashley engaged Merrill Lynch to manage an initial public offering that valued the company at up to £2.5 billion ahead of its listing on the London Stock Exchange.
Ashley embarked on brand acquisitions early in his career, beginning with Donnay Sports, followed by the £40 million purchase of Dunlop Slazenger in 2003. Subsequent acquisitions included Karrimor and later Kangol for £10 million. He also acquired a £9 million stake in Umbro and secured a long-term partnership agreement. By mid-2006, he had obtained a 25% shareholding in Matalan, integrating Sports World outlets into larger retail spaces. Additionally, he held substantial investments in Blacks Leisure Group, which owns Millets, and took stakes of 9% in JJB Sports and 19% in JD Sports. By this time, Sports Direct had overtaken JJB Sports as the leading sportswear retailer in the UK. Ashley is also the proprietor of Lonsdale. By 2019, his group operated more than 400 stores under brands such as Sports Direct, Lillywhites, and USC across the UK, Ireland, Belgium, and Slovenia, employing over 20,000 staff members.
The company acquired a 38.5% holding in retailer Game Digital and submitted a £52 million offer for The Times newspaper in June 2019. In February 2020, Ashley secured a 12.5% stake in luxury fashion brand Mulberry. Later that year, in August 2020, Frasers Group purchased assets from DW Sports Fitness for up to £44 million, including ownership of 46 leisure clubs and 31 retail outlets to be integrated into its operations. In February 2023, Ashley entered advanced negotiations to acquire shopping centres such as The Mall Luton and Overgate Centre for an estimated £100 million.
In 2000, Ashley provided testimony to the Office of Fair Trading concerning price-fixing discussions among sports retailers. In July 2017, he successfully defended against allegations related to an informal £15 million agreement affecting Sports Direct’s share price in a High Court ruling. During the COVID-19 pandemic in March 2020, Sports Direct initially intended to keep stores open despite government restrictions but reversed this decision following widespread public criticism.
A BBC documentary aired in 2010 investigated Ashley’s takeover of Newcastle United alongside working conditions at Lonsdale’s suppliers in Thailand; Ashley declined involvement citing inaccuracies within the program. In 2016, following claims of poor labor practices at a Sports Direct warehouse, the Department for Business initiated an inquiry; Members of Parliament likened conditions there to those found in a "Victorian workhouse." A subsequent undercover report in 2020 indicated only slight improvements had been made.
On 20 December 2024, despite Frasers Group owning a 27% stake in online retailer Boohoo, Ashley was blocked from joining its board after shareholders voted against his appointment by a margin of 64%, citing "irreconcilable conflicts of interest."
Newcastle United
On 23 May 2007, Ashley purchased a 41.6% shareholding in Newcastle United from Sir John Hall for £55.3 million through his firm St James Holdings Ltd. Under UK takeover regulations, surpassing a 30% stake obligated Ashley to extend an offer to acquire the remaining shares at the same or higher price. By 15 June, his ownership had risen to 77.06%, allowing him to remove the club from public trading. The following month, he secured the remaining 22.94% for approximately £134 million, becoming the sole proprietor. While he cleared substantial inherited debts, Ashley was criticized for inadequate financial due diligence and failure to fully assess outstanding obligations.
Ashley appointed Chris Mort as chairman to oversee club operations and regularly attended matches alongside supporters. During the Tyne–Wear derby in November 2007, Sunderland denied him permission to wear his Newcastle shirt at their ground. His standing among fans improved following Kevin Keegan’s return as manager in January 2008, replacing Sam Allardyce. However, in August 2008, Ashley received a police warning after consuming beer in Arsenal’s away section, violating Premier League alcohol policies.
In September 2008, Keegan resigned amid conflicts involving Director of Football Dennis Wise. Supporters staged protests, labeling Ashley and Wise the "Cockney Mafia." The League Managers Association recommended structural changes to safeguard the club’s reputation. Ashley announced intentions to sell Newcastle but retracted after failing to secure an appropriate buyer, citing concerns over safety and financial losses.
In early 2009, Joe Kinnear acted as interim manager but resigned due to health problems; Alan Shearer succeeded him but was unable to prevent relegation to the Championship. Ashley acknowledged errors and renewed efforts to sell later that year. A Premier League arbitration panel ordered Ashley to compensate Keegan with £2 million for constructive dismissal. By October 2009, Ashley removed the club from sale and injected an additional £20 million.
In an effort to reduce debt, Ashley explored selling stadium naming rights, provoking fan backlash over potential heritage loss. In November 2009, Sports Direct became stadium sponsor, renaming it "sportsdirect.com @ St James' Park Stadium" for the season.
Fan dissatisfaction escalated after Chris Hughton was dismissed as manager in November 2010 and replaced by Alan Pardew. Following Derek Llambias’s departure in June 2013, Ashley assumed the managing director role; Lee Charnley succeeded him as managing director in 2014. In May 2015, Ashley gave his first televised interview since acquiring Newcastle, stating he would only consider selling once the club won a trophy or qualified for the Champions League.
After Steve McClaren’s brief spell as head coach, Rafael Benítez was appointed; Ashley expressed faith in Benítez despite admitting regret over purchasing the club. Newcastle suffered relegation again at the end of that season.
In April 2020, a proposed £300 million takeover by a consortium including PCP Capital Partners, Reuben Brothers, and Saudi Arabia’s Public Investment Fund encountered delays due to ongoing legal disputes between PCP and Barclays affecting the Premier League's Owners' and Directors' Test. The consortium withdrew in July citing these setbacks. Subsequently, Ashley initiated legal action against the Premier League regarding their management of the takeover process.
On 7 October 2021, the consortium finalized the £300 million acquisition of Newcastle United.
Other clubs
In October 2014, Ashley obtained an 8.92% shareholding in Rangers International Football Club, the proprietor of Scottish team Rangers. However, the Scottish Football Association prevented him from raising his stake to 29.9%, due to conflicts with his ownership interests in Newcastle United. In January 2015, supporters of Rangers demonstrated against Ashley's proposal to secure a £10 million loan by using the club’s stadium as collateral, highlighting widespread skepticism about his motives. On 23 June 2017, Ashley divested his entire Rangers stake, selling it to Club 1872 and Julian Wolhardt.
On 17 November 2022, Ashley acquired the CBS Arena, the home ground of Coventry City, for £17 million. Despite a 2021 agreement granting Coventry City a ten-year tenancy, he issued an eviction notice to the club in December 2022, provoking strong opposition from both fans and the club itself. By March 2023, discussions were ongoing while Coventry City continued operations under a temporary arrangement.
Personal life
Ashley keeps his private affairs discreet. He married Linda Jerlmyr, a Swedish-born economics graduate, in 1988, and they have three children together. Their son Ollie was a DJ and former owner of Radar Radio until it ceased operations in 2018; their eldest daughter Anna is wed to Michael Murray, who took over as chief executive of Frasers following Ashley’s resignation; and their youngest daughter Matilda launched the Double Take cosmetics brand in 2015. The couple divorced in 2003, with the settlement reportedly among the largest in British legal history, involving Ashley transferring assets valued at approximately £50 million, including their family residence and several other properties.