Sports Direct is reportedly in discussions to introduce Lillywhites shop-in-shops in some of House of Fraser’s department stores. 

Dave Forsey, chief executive of the Mike-Ashley-owned chain, is understood to have held talks with Chinese-owned House of Fraser about the move, the Sunday Telegraph reported.

Retail Week understands that the talks are at an early stage and mainly relate to Asia, with House of Fraser due to open its first stores in China next year. According to the Sunday Telegraph, House of Fraser has rejected taking on Sports Direct branded concessions in its department stores.

Sports Direct and House of Fraser both declined to comment.

Last year Mike Ashley acquired an 11% stake in House of Fraser in what was seen as an attempt to intervene in a takeover of the department store group by China’s Sanpower. The Chinese group eventually acquired House of Fraser in September for £480m. However Ashley has retained his stake.