Newcastle have dismissed as "absolute nonsense" claims that owner Mike Ashley is prepared to sell the club for £420million.

The Magpies found themselves surrounded by fresh intrigue off the pitch at the end of yet another eventful week when it was reported that Ashley had quoted American private equity fund InterMedia Partners a price to buy him out.

Although it is understood there has been contact on an informal level between the two parties, the club was swift to deny that a valuation which would trigger a sale had been set.

A spokesman said: "It is absolute nonsense."

The club's response may come as some comfort to fans who will have been dismayed to read speculation that Ashley could be looking to sell after just 12 months at the helm when they are hoping for stability both on and off the pitch.

The billionaire businessman launched his £134.4million takeover last summer after former chairman Freddy Shepherd had fought off a series of approaches, with US hedge fund Polygon and the Jersey-based Belgravia Group having declared their interest.

Ashley's move, however, was decisive, and once he had snapped up the Hall family's holding in the club, it was only a matter of time before he gained control.

He, through Chris Mort, the man he eventually installed as Shepherd's replacement, signalled his intention to build for lasting success by restructuring the club and taking a long-term view about its development.

However, despite repeated assurances that Ashley is not looking to make a quick profit and then get out, rumours have persisted that the club is for sale at the right price.

The new owner has invested heavily - to the tune of around £100million - to address the debt situation and help strengthen the playing staff, and is currently, along with Mort's replacement, managing director Derek Llambias, overseeing the recruitment drive manager Kevin Keegan hopes will allow him to compete on the field next season.

But with the Sports Direct International business with which he made his fortune enduring testing times, the speculation is refusing to go away.

Ashley, of course, is a hugely successful businessman and it would not be in keeping with his reputation if he was not aware of potential opportunities.

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