Sports Direct disposes of Finish Line stake, nabs more Iconix shares

FTSE 250 retailer Sports Direct International has disposed of its stake in US sportswear retailer Finish Line.

Sports Direct disclosed back in April that it had taken an interest of nearly 8m shares in Finish Line, or a 19.3% stake, just days after JD Sports agreed to buy the retailer in a deal valued at $558m, which has now completed.

In addition, the company announced on Wednesday that it has bought a further 8.6% interest in US brand management company Iconix Brand Group. The group had already revealed in April that it had taken an 8.9% stake in Iconix in an investment held through contracts for difference with third parties.

Independent retail analyst Nick Bubb said: "The collapse in the Debenhams share price yesterday was another blow to Mike Ashley’s investment acumen, whilst holding on to a 11% minority stake in House of Fraser after the Chinese takeover was another serious mistake, but at least he didn’t do anything stupid like hold on to a minority stake in the US chain The Finish Line after the JD takeover (as it has been confirmed today that the stake has been sold)."

At 0845 BST, the shares were up 0.6% to 403.90p.