Newcastle United owner Mike Ashley is closing the club’s official store and has made all his staff redundant, telling employees it is one of the terms for their potential buyers.
The Magpies have long been the subject of a potential takeover of £ 300 million from a Saudi consortium, although the deal has hit many barriers along the way.
Ashley has closed Newcastle United store Michael Regan / Getty Images
But the decision to close the Sports Direct-owned Newcastle store points to a possible breakthrough in the acquisition, as the Daily Mail reports that the closure is one of Saudi’s conditions for buying the club.
Ashley informed staff of the decision to close the store on Monday, making them all redundant in the process. The sportswear brand Castore will be the club’s new supplier and when the deal becomes official, the club shop will sell exclusively its goods.
This decision to close down retail has given rise to suggestions that it is linked to the imminent arrival of new owners, as it will further end Newcastle’s connection with Sports Direct, the company owned by Ashley.
It is believed that the store staff received a new ownership in a letter and explained that it was their choice to close the store doors.
Supporters are desperate to see Ashley leave the club Chris Brunskill / Fantasista / Getty Images
The £ 300m transfer bid hit the cliffs this summer, after the consortium led by Amanda Staveley and the Reuben brothers failed to pass the Premier League test for owners and directors. The board could not decide on a separation between the Saudi state and the country’s public investment fund, which means that the deal was blocked.
But Staveley is believed to be involved in the deal and Ashley hopes the decision will be overturned on appeal. If he succeeds, it would put an end to a tough chapter in Newcastle’s history during the businessman’s 14-year reign.
