Findel Ian Burke expected to become Findel's new executive chairman
Chair of casino operator Rank Group, Ian Burke, is being lined up as the successor to Findel's David Sugden. Burke, regarded as one of the UK's most experienced leisure industry executives, is expected to fill the executive chairman role several months after Sports Direct owner Mike Ashley's failed attempt. No official announcement will be made until the City watchdog has given its approval.

One of Britain's most experienced leisure industry executives is being lined up to take the helm at Findel, the mail order retailer, months after the sportswear tycoon Mike Ashley failed in an attempt to land the role.

Sky News has learnt that Ian Burke, who chairs the casino operator Rank Group, is the leading candidate to replace David Sugden at Findel.

Mr Burke, who has run companies in the bingo, brewing, hotels and health and fitness sectors, would become Findel's executive chairman.

An announcement about his appointment is not expected for several weeks, because Findel's Express Gifts division is regulated by the City watchdog, whose approval will be required.

The news of Mr Burke's likely arrival at Findel comes three months after the catalogue and online retailer's board rejected Mr Ashley's efforts to become chairman.

Mr Ashley, who is under renewed fire at Sports Direct International after MPs were secretly recorded during a visit to the company's warehouse this week, is Findel's biggest shareholder.

He has twice failed to secure a seat on Findel's board, although more recently the company has adopted a conciliatory stance, suggesting that his appointment as a director could be valuable to it.

Sports Direct International, Mr Ashley's company, owns nearly 30% of Findel, and wants to use wants to use its Express Gifts subsidiary to channel Sports Direct's portfolio of sports goods brands.

During the summer, Findel said it "remains of the view that there is merit in a commercial supply agreement with SDI, but SDI are unwilling to take this forward until the role of Mike Ashley on the Findel board is clarified".

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It added that it had "decided not to appoint Mike Ashley as executive chairman and will now move as quickly as possible to appoint an independent executive chairman".

Findel has already sold Kitbag, a retailer of replica sports kit which has deals with a number of leading football clubs, while it continues to own a business focused on educational supplies.

Last month, the company said sales in the Express Gifts unit were significantly higher, although bad debt costs had also risen.

Findel, whose search for a new chairman is being handled by Zygos, the City headhunter, declined to comment on Saturday.