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You can find the current article at its original source at https://www.theguardian.com/business/2017/jul/13/sports-direct-game-digital-mike-ashley-nintendo-switch
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Sports Direct buys 26% stake in Game Digital | Sports Direct buys 26% stake in Game Digital |
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The founder of Sports Direct, Mike Ashley, has added a near 26% stake in the struggling video games retailer Game Digital to his string of high street investments. | The founder of Sports Direct, Mike Ashley, has added a near 26% stake in the struggling video games retailer Game Digital to his string of high street investments. |
Game Digital said Sports Direct, controlled by the billionaire, had acquired 44m shares, amounting to a 25.75% stake. Game released a profit warning last month due to a supply shortage of Nintendo’s Switch console. | |
Ashley has built up a business empire by buying stakes in Debenhams, French Connection and the home shopping company Findel, through Sports Direct or investment vehicles. | |
Game said in a statement to the London stock exchange that it was aware Sports Direct had taken “significant strategic equity stakes in a number of retail and brand businesses across both the UK and US”, and said it was “pleased that the strategic value of the group has been recognised by Sports Direct”. | Game said in a statement to the London stock exchange that it was aware Sports Direct had taken “significant strategic equity stakes in a number of retail and brand businesses across both the UK and US”, and said it was “pleased that the strategic value of the group has been recognised by Sports Direct”. |
It added: “The group looks forward to working collaboratively with Sports Direct to explore the clear opportunities that a constructive partnership and collaboration can deliver for all stakeholders in the gaming, live events and rapidly growing eSports markets in which it operates.” | |
Sports Direct, Britain’s second-biggest sports retailer, has been under fire over its working practices since a Guardian investigation revealed that it was in effect paying warehouse staff less than the minimum wage. A report by MPs later accused Ashley of running Sports Direct like a Victorian workhouse. |