Sports Direct and Intu strike deal to save four House of Fraser sites
Four House of Fraser stores have been brought back from the brink of closure following a deal struck between Sports Direct and shopping centre landlord Intu.
Last-minute talks between Mike Ashley’s sportswear firm and Intu Properties has led to department stores in Norwich, Thurrock, Gateshead and Nottingham being saved, having previously been earmarked for closure.
More than 1,000 jobs will be saved as a result of discussions that Intu today described as “constructive”.
The news comes despite in the wake of previous tussles between the shopping centre owner and Sports Direct, which have traded public blows after Mike Ashley said he would shut all House of Fraser stores on an Intu site following a rent row.
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Ashley, who snapped up House of Fraser in August last year for £90m, pledged at the time to rescue some 47 of the retailer’s 59 outlets.
The billionaire retail magnate, who also purchased Evans Cycles last year and is currently reported to be making a move for HMV, has so far signed deals for almost 40 House of Fraser stores, but discussions over how much of the portfolio will be saved are still ongoing.