The Sports Direct’s chairman is to step down from the group following pressure from a major shareholder advisory group.
Keith Hellawell, who has been in the role for almost a decade, will be replaced by David Daly, the former Nike executive.
Glass Lewis, the investor advisory group, urged investors last month against Hellawell’s re-election and accused him of providing “poor governance”.
The group also advised against the re-election of Simon Bentley, a senior independent director who is always leaving the retailer.
Sports Direct said in a statement: “Dr Keith Hellawell has today informed the board of his decision to step down as chairman and as a director of the company, having served since November 2009.
“Dr Hellawell will retire with effect from the conclusion of today’s AGM, and will therefore not be seeking re-election.
“David Daly, non-executive director, will take up the role of chairman at the conclusion of the AGM.”
Hellawell said: “Having overseen significant improvements in the working practices and corporate governance of the company, which includes a refresh of the board, now is the right time for me to step aside.
“I have every confidence that the group will continue to go from strength to strength. I have enjoyed the challenges of Sports Direct and the support of Mike Ashley; many major investors; members of the board and senior staff, and wish them much success for the future,” he added.
Ashley said: “I would like to thank Keith and Simon for their valuable service and significant contributions to the company over the years.”
The group has also appointed its first female member to the board after pressure from targets for public companies.
Nicola Frampton, from William Hill, will begin work as a non-executive director from October 1.
Shares in the group (LON: SPD) are trading up 3.26 percent at 352,00 (1322GMT).
