Mike Ashley is engaged in talks with Nike as the US sportswear company tries to persuade the maverick entrepreneur not to block its agreed bid for Umbro, kit sponsor to the England football team.

The talks are the first positive sign that Mr Ashley is willing to negotiate with Nike over its £285m takeover of Umbro, the Cheshire-based sportswear brand in which Mr Ashley owns a 29.9 per cent stake via Sports Direct, his retail empire.