Hobbs, who is now living and working in Italy, decided to leave the group as a result of his other business commitments. He said he felt unable to devote enough time to fulfilling his role as chairman.
Hobbs is due to leave Intimas in March 2008 and an announcement regarding his successor will be made in due course.
Chief executive Carol Duncumb said: "I would like to express my sincere thanks to Michael for the role he has played in guiding the group through a challenging period. In particular, I would like to thank him for his input into our change in strategic direction, as we have evolved from a business focused on the design and supply of own label merchandise to a business combining own label
with the development of its own brands."