Sports brand Umbro received a bid approach from an unnamed party, prompting speculation that Sports Direct tycoon Mike Ashley may be poised to pounce.

Ashley’s Sports Direct retail business has a 15 per cent stake in the sports firm.

However, analysts were cautious about whether Ashley was the mystery bidder. Panmure Gordon analyst Richard Newboult said: “We doubt that the FA would want the sponsorship of the England team to lie in the hands of a single retailer.”

Seymour Pierce analyst Andrew Wade also questioned whether a deal would make sense. He said: “With England now unlikely to be attending Euro 2008, we would have expected to see [Umbro] forecasts slashed over the next six weeks and a further fall in the share price.”

Shares in Umbro rose by 30p after the announcement, to 150p, valuing the business at almostÂŁ220 million.

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