The Investor Forum to blast Mike Ashley
Embattled retailer Sports Direct is to come under fire from the Investor Forum, a City firm that manages assets worth over £14tn, for failing to take strict measures to amend the business.
According to Sky News, bigshots from the Forum will lash out at Sports Direct’s billionaire owner Mike Ashley for not acting on investor concerns.
They’re calling on investors to consider not supporting the retailer’s board that is holding its next annual general meeting on 7 September.
Independent retail analyst Nick Bubb said: “It remains to be seen how ‘open’ Sports Direct will be at its ‘open day’ on 7 September, but management have clearly calculated that the company’s reputation is so low that it can only get better, despite the constant risk that Mike Ashley says something stupid.”
The news comes after Ashley came under fire for letting his brother distribute products sold by the sports retailer and his daughter’s boyfriend heading up the company’s property portfolio.
“The City has had enough of the way this company is run,” one institutional investor said earlier this week.
“The Forum’s decision to speak out has not been taken lightly, and is hugely significant.”