Ashley launches Magpies bid
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Ashley launches Magpies bid
Billionaire businessman Mike Ashley has bought a 41.6 per cent stake in Newcastle ahead of a proposed takeover.
Ashley has paid Sir John Hall and his family £55million for the stake and has offered to buy the rest of the club's shares at the same price, which would value the St James' Park outfit in the region of £133million.
Ashley made his fortune in sportswear retail and is the UK's 25th wealthiest man, according to the Sunday Times Rich List, with an estimated worth of £1.9billion.
Ashley confirmed: "I am delighted to have this opportunity to invest in Newcastle United.
"The club has a fantastic infrastructure, for which Sir John and the board must take much of the credit."
Former Magpies chairman Hall, who will remain life president, has welcomed the prospect of a handover.
"It is now time for me to move on and let others take up the challenge of competing in the global marketplace," said Hall.
"Mike Ashley is a major player in the sporting world and I am convinced that he is the right person to take my place and take the club forward."
Stock Exchange rules mean that St James' Holdings Limited, Ashley's bid vehicle, must now make a cash offer for the remaining shares, around 29.8 per cent of which belong to chairman Freddy Shepherd.
Newcastle confirmed on Wednesday that their board will meet to discuss Ashley's proposal. -
i hope the new investment will make newcastle a better team
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40M for big sam to play around.
Anyway, this is one chance Big Sam needs to show that he is England Manager material.