Mike Ashley wins High Court battle as judge puts £15m claim down to 'wishful thinking'

Investment banker Jeffrey Blue told a judge that Mr Ashley promised to pay him £15 million if he used his expertise to double Sports Direct's share price to £8 a share.

He said Mr Ashley paid only £1 million and he wanted £14 million damages.

Mr Ashley denied the claim and said Mr Blue was talking ''nonsense''.

Mr Justice Leggatt heard that the dispute centred on a conversation in the Horse and Groom pub in Great Portland Street, central London four years ago.

The judge, who analysed evidence at a High Court trial in London earlier this month, on Wednesday dismissed Mr Blue's claim.

He said no-one at the pub would have thought any offer Mr Ashley made was serious.

The judge said Mr Blue may have borne a grudge against Mr Ashley.

"In the course of a jocular conversation with three investment bankers in a pub on the evening of January 24 2013, Mr Ashley said that he would pay Mr Blue £15 million if Mr Blue could get the price of Sports Direct shares (then trading at around £4 per share) to £8," said Mr Justice Leggatt in a ruling.

"Mr Blue expressed his agreement to that proposal and everyone laughed.

"Thirteen months later the Sports Direct share price did reach £8.

"But no reasonable person present in the Horse and Groom on January 24 2013 would have thought that the offer to pay Mr Blue £15 million was serious and was intended to create a contract, and no one who was actually present in the Horse and Groom that evening - including Mr Blue - did in fact think so at the time.

"They all thought it was a joke.

"The fact that Mr Blue has since convinced himself that the offer was a serious one, and that a legally binding agreement was made, shows only that the human capacity for wishful thinking knows few bounds."

The judge told lawyers: "He (Mr Blue) may to some extent borne some degree of grudge against Mr Ashley."

Mr Ashley was not in court to hear the judge deliver his ruling.

A barrister leading his legal team said he has won a "comprehensive victory".

The businessman said afterwards in a statement: "The only reason the Sports Direct share price exceeded £8.00, and will hopefully do so again, is because of the sterling efforts of all the people who work at Sports Direct."