Sports Direct chief executive Dave Forsey has resigned from the retailer, with founder Mike Ashley to replace him with immediate effect.
Ashley, previously executive deputy chairman, assumed control with immediate effect following Forsey's resignation yesterday (Thursday).
The news comes after a gruelling year for the business, which has seen Sport Direct come under fire for working conditions at its Derbyshire factory as well as its corporate governance practices.
Forsey, who has been with the retailer for 32 years, said: "I have given my entire working life to the company and in return the company has given me amazing opportunities and experiences. I wish everyone at Sports Direct well in the future."
Sports Direct added that Ashley will continue to be supported by the existing executive management team, and Forsey pledged to facilitate a "smooth handover of his responsibilities".
Ashley said: "I feel like I have lost my right arm, but I do hope to have the opportunity to work with Dave again in the future."