Mike Ashley has added Teesside designer clothes retailer Psyche to his retail empire after agreeing a buyout deal.
The Middlesbrough business has been sold to Newcastle United owner Ashley's Frasers Group, which owns Sports Direct, House of Fraser, Flannels and other major retail brands.
Psyche boss Steve Cochrane has owned the business for around 38 years and will continue to run it after the takeover, TeessideLive reports.
He said the deal would secure the future of the store, its online operations and its 58 workers by becoming part of the large retail group.
Steve said: "After 38 years as an independent fashion retailer we have never seen such uncertainty surrounding the pandemic with local lockdowns, it is great to have the security and backing of one of the strongest UK retailers to continue employing our talented staff and serve our loyal customers.
"Merging with Frasers Group will allow us to grow and expand.
"It will give us economies of scale and efficiencies by being part of a large plc."
The value of the deal has not been disclosed.
It has already seen the company's registered address change from Middlesbrough to Frasers' headquarters in Shirebrook, in the Midlands.
Psyche's 40,000 sq ft luxury fashion boutique in Middlesbrough hosts more than 200 high-end brands for men, women and children although is currently closed due the Tier 4 restrictions.
Steve opened his first store – called Sliced Tomatoes after a Northern Soul record – in Redcar in 1982, giving the North East its first alternative clothing shop.
Steve, who was awarded an MBE in 2018, said he had first been approached over a sale three years ago but turned an offer down before being contacted again recently by Mr Ashley.
The billionaire retail tycoon visited the store in 2017 during a trip to also see his Flannels store in Middlesbrough.
Steve said: "When Mike came three years ago he said it was the best store he had seen outside of London.
"They have been really great to deal with. Lots of the high street is on the verge of failing but this deal makes sure that Psyche is now part of something larger and more secure.
"Cyril Williams acted on behalf of the Frasers Group to acquire the business in a simple and straight forward manner, in record time.
"I look forward to working with my new colleagues to develop and build on the great business we have built over the past 38 years. “
Psyche has also had an outlet in Durham while Psyche 2 in Middlesbrough's Cleveland Centre closed in March 2020 after more than five years of trading.
