Debenhams loses major investor amid Ashley tug of war

Debenhams has lost its fifth-largest investor as retail tycoon Mike Ashley leads a boardroom coup at the struggling department store chain.

Invesco Asset Management had a near-5% stake in the business.

It confirmed a story by Financial News on Monday that it had sold its entire holding, but declined to give any reason.

Invesco made it out of the door at a time when Mr Ashley's Sports Direct - the largest shareholder with just under 30% - is leading a charge for change as Debenhams battles to preserve its future.

The chain is currently engaged in negotiations with banks on a £150m refinancing as part of its wider restructuring.

Mr Ashley's plan includes a rival offer of a £150m loan that would be interest-free should he get what he wants - the chief executive's job.

Debenhams said on Friday it would give "careful consideration" to Mr Ashley's separate offer but cautioned that its lenders would have to sign-off on any such deal.

Mr Ashley's offensive has raised hackles in some quarters, with sources at the company telling Sky News last week that the hostility has become a barrier to any kind of engagement.

Invesco, like others with holdings in Debenhams, saw the value of its investment collapse - accelerating last year.

Debenhams shares were trading at 96p per share in 2015.

They are currently worth just over 3p - giving the chain a market value of just over £40m.