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Former owner Mike Ashley sues Newcastle United over kit deal dispute
Mike Ashley sued his former club Newcastle United for refusing to sell The Magpies kit to his retail chain, Sports Direct, a retail chain he owns. The billionaire claimed that the club used their power as majority owner to not put Sports Direct on the distribution list for their 2024/25 season kit.
Newcastle United expecting a retail switch
Next season, the club are preparing a shift from Castore to Adidas, and Sports Direct want the relationship to continue. However, Newcastle claimed that they had an exclusive deal with only Adidas, JD Sports, and the club themselves as rightful distributor for the kit.
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Mike Ashley would lose big if Newcastle United wins
If Newcastle win in this case, Ashley would lose 50,900 units of Newcastle shirt supply which is valued at £1.53 million. The Walsall-born businessman had a sour relationship with the fans since he gained ownership of the club in 2007. It is claimed that the previous supplier Castore always stuck to the commitment of supplying a Sports Direct Newcastle replica kit.
During his reign as owner, Ashley was labelled as a negligent owner with the club lacking ambition. The club was struggling financially for years before Saudi Arabia’s Public Investment Fund came to buy the majority shares in 2021.
The claim was asking the club to fulfil the damages for the company, including removal of Sports Direct signage at St. James’ Park. Newcastle United have six days remaining to respond to Ashley’s sue. The court has issued the hearing date, which is 9 April next month.
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