The former Next chairman, who was already on the board, has stepped into the new role to help focus the retail operations of the beleaguered sports chain.
JJB confirmed that it had received a preliminary approach for its lifestyle division, which includes Qube and Original Shoe Company, as it tries to “maximise value for its shareholders”. Rival JD has emerged as a likely bidder. It may also sell its brands including Head to raise more cash.
JJB Sports chairman Roger Lane-Smith said that the board was working around the clock to “get to grips with our issues”. He said: “I am confident that the steps we are taking will provide the stability to allow us to focus on our core activities.”
Following questions raised over JJB’s bridging loan from Icelandic bank Kaupthing, which collapsed last week, Lane-Smith stressed this was under no short-term threat and the money was “already in our bank”.
However, the impact of the Icelandic crisis on its 29 per cent stake held in partnership with Exista and chief executive Chris Ronnie remains unclear.
JJB’s property director Barry Dunn has also stepped down from the business.
Borders has refuted claims that it is not able to draw on the£23 million asset-backed lending facility it has with Landsbanki. However, it said this facility is under review. This week the UK Government made a£100 million loan to a London division of Landsbanki to maintain lending lines to UK businesses.
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