'Difficult decision': Michael Clarke and wife Kyly in shock $40 million split

Former Australian cricket captain Michael Clarke and wife Kyly are getting divorced after more than seven years of marriage.

The couple have agreed on a financial settlement and on arrangements to co-parent their four-year-old daughter Kelsey Lee, The Australian reports.

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"After living apart for some time, we have made the difficult decision to separate as a couple, amicably," they told the newspaper in a joint statement.

"With the greatest of respect for each other, we've come to the mutual conclusion that this is the best course for us to take while committed to the co-parenting of our daughter."

Kyly and Michael Clarke, pictured here at the 2016 Allan Border Medal ceremony.
Kyly and Michael Clarke at the 2016 Allan Border Medal ceremony. (Photo by Zak Kaczmarek/Getty Images)

The Australian is reporting the divorce will be worth about $40 million.

The couple, both 38, married in 2012. Their daughter was born in 2015, months after the cricketer announced his retirement.

Clarke reportedly moved out of his home with Kyly in Vaucluse five months ago, relocating to the $7 million Bondi apartment they owned together.

Clarke posted a photo at the Bondi pad last week.

He then posted a message on Instagram, telling daughter Kelsey he is “right beside you”.

Clarkes thank family for support

Clarke played 115 Tests and 245 one-day internationals for Australia, scoring over 17,000 runs at international level.

He has since forged a successful career in the media, while Kyly was recently announced as one of the new judges on Channel 7 renovation show House Rules.

She also runs her own company ‘Lyfestyled by Kyly Clarke’.

“We’d like to acknowledge the wonderful support we’ve had from family and friends, and at this time request privacy so that we can manage this next stage of our lives,” the statement read.

Michael and Kyly Clarke, pictured here celebrating with the 2015 Cricket World Cup trophy.
Michael and Kyly Clarke celebrate with the 2015 World Cup trophy. (Photo by Ryan Pierse/Getty Images)

Last year Kyly addressed speculation about their marriage.

“We’re not, never were and never will be splitting,” she told the Daily Mail, revealing the secret to their marriage.

“Have those date nights so you’re always keeping everything nice and fresh.”

with AAP