Rangers Takes Ashley Deal As Wallace Leaves
Scottish Championship side Rangers have accepted a £2 million loan from Sports Direct and Newcastle United owner Mike Ashley, effectively handing control to the 50 year-old, who owns 8.92% of the club.
The transaction was confirmed in a statement to the London Stock Exchange’s AIM market on Monday, preceded by the resignation of Rangers chief executive Graham Wallace.
A statement from Rangers, who lie second in Scotland’s second tier, said: ‘The directors would like to thank Graham for his contribution to the club during a difficult period. The board has commenced the search for a chief executive officer. A further announcement will be made in due course.’
Ashley, who also owns Premier League team Newcastle United, cannot own more than a 10% stake in Rangers but does control the club’s retail operation and naming rights to Rangers’ Ibrox Stadium through his Sports Direct brand.
Terms of the loan give him power to select Wallace’s successor, as well as a successor for former finance director Philip Nash, who resigned on Friday.
