Mike Ashley uses Direct approach to help American expansion

Sports Direct’s assault on the US has stepped up a gear, with the retailer reportedly in talks to buy hundreds of stores belonging to collapsed chain Sports Authority.

Around 450 shops are up for sale after Sports Authority filed for Chapter 11 in March.

Sports Direct and US retailer, Modell’s Sporting Goods, are in talks about forming a joint venture to bid for up to 200 of them, the Wall Street Journal said.

Sports Direct, founded by Mike Ashley, already bought stakes in US firms Iconix and Dick’s Sporting Goods in January. He used similar tactics on his home turf to help Sports Direct open concessions in fellow retailers such as Debenhams.

Earlier this month, Ashley admitted that Sports Direct had “probably” outgrown him during a grilling from MPs over working conditions at the business’s Derbyshire warehouse.

The retail tycoon told the Commons Business, Innovation and Skills Committee that he had taken some steps to improve conditions at his Shirebrook warehouse.