Sex toys and lingerie chain Ann Summers co-founder Ralph Gold pocketed a £56.5m dividend as he sold his entire stake in the chain to his older brother.

The information is revealed in accounts filed at Companies House by parent company Gold Group International, which also owns underwear retailer Knickerbox.

David Gold bought out his brother in December 2007 in a deal that also involved a transfer of properties and an undisclosed private payment. None of the properties are required for the operations of either of the retail chains.

David Gold, whose two daughters Jacqueline and Vanessa run Ann Summers, said he wanted to clarify a succession plan.

He told The Telegraph: “When you read statistics showing that 71 per cent of second-generation businesses don’t succeed, it makes you think. So we felt it was prudent and wise that we planned the succession. The higher the number of beneficiaries the greater the failure rate.