Mike Ashley returns to court over Icelandic store

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Icelandic store Keith Hellawell

Sports Direct has returned to court to challenge the family of a disgraced Icelandic businessman over the ownership of its most profitable international store.

Retailer billionaire owner Mike Ashley, who only last month won a £15 million court case over a pub bet, is suing the family of Jon Asegir Johannesson over an alleged breach of contract, according to the Sunday Times.

Johannesson was once a prominent figure on the UK’s high streets, owning stakes in All Saints, House of Fraser and Hamleys.

READ MORE: Mike Ashley wins £15m “pub deal” court case

His family is now being challenged over the ownership of Sports Direct’s store in Reykjavik, of which it reportedly owns 60 per cent, the most profitable store outside the UK generating annual sales of €10 million (£9.1 million).

The Icelandic store was born out of a joint venture between Ashley, Johannesson’s stepson Sigurdur Palmi Sigurbjornsson and Jeff Blue, the investment banker who was just recently defeated in court by Ashley.

Ashley bought out Blue’s 15 per cent stake in the store, with the banker under the impression he would be promoted to finance chief of the company, before departing in 2015.

Ashley has since attempted to buy out Sigurbjornsson for €100,000 (£91,400), but this was reportedly rejected as the retailer is estimated to be worth €20m (£15.5 million).

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