JJB prepares for AGM row
SPORTSWEAR tycoon Mike Ashley is threatening to make an explosive appearance at arch rival JJB Sport’s annual meeting today.
The showdown will centre on the exact chronology of Ashley’s £1.5m personal loan to JJB’s executive chairman Sir David Jones, which could pose a conflict of interest.
JJB Sports maintains that the £1.5m loan, which has now been repaid, was initiated before Jones joined its board.
But Ashley says the loan was made after Jones joined the board, which would present a conflict of interest.
Ashley, owner of Sports Direct, last week turned up the heat by publishing a letter between the two businessmen which detailed the terms and timings of the loan. It appeared to contradict Jones’ version of events.
A spokesman for Ashley yesterday said he was “unhappy about the way JJB’s statement misrepresented the background and chronology of loan”.
As well as attempting to embarrass Jones over the loan, Ashley is set to grill JJB over why it has terminated stock agreements between the two businesses.
A spokesman for Sports Direct said: “Despite Sports Direct offering very attractive commercial terms to provide stock, JJB has refused to carry on this deal”
But JJB said it had decided to terminate the deal because it had become a major headache for the company.