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The UK high street giant Debenhams went into administration on Tuesday, before being immediately sold to its creditors.

In a similar arrangement to that of Interserve, the move allows Debenhams to continue trading while restructuring takes place, but wipes out existing shareholders. This includes the 30% share held by retailing mogul Mike Ashley, the boss of Sports Direct.

Ashley had been trying to seize control, by Debenhams rejects his last minute rescue plan, which included making himself chief executive.

The board, which is to remain in place, said the administration, while disappointing, would allow it to access funding, delever the group’s balance sheet and execute its turnaround plans.