Rangers have confirmed that Mike Ashley has become the second biggest stakeholder in the club.

In an announcement to the Stock Exchange, it was confirmed that Mr Ashley's MASH Holdings Ltd has taken his shareholding in the club's operating company Rangers International Football Club plc from 3m to 7.265m.

Mr Ashley's 8.92% stake is the second largest in the club.  Only Isle of Man investment firm Laxey Partners Ltd has a bigger shareholding, with 16.32% of the business.

The move is expected to fuel more speculation that the tycoon could take over the former Scottish champions.

The announcement confirms that the stake is being held in MASH Holdings, a company wholly-owned by the billionaire Newcastle United and Sports Direct owner.

The development emerged BNP Paribas Arbitrage SNC, the asset management wing of France's largest bank had bought a 5.23% stake in the club for an anonymous client.

The anonymous buyer purchased 4.265m shares sold by London-based investment managers Hargreave Hale.

Three weeks ago, Mr Ashley said he would not buy any more shares in the recent open share offer to existing stakeholders. 

The offer of almost 20 million new shares to existing shareholders aimed to raise nearly £4m of working capital for the crisis-hit club.

The new purchase of shares cost 20p each, identical to the price in the open offer.