The couple issued a joint statement on Wednesday night announcing the split.
"After living apart for some time, we have made the difficult decision to separate as a couple amicably," they said in a statement issued to The Australian's Media Diary.
"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."
It is believed that the couple split five months ago, with Michael moving out of their $12 million mansion in Vaucluse and into their $8million home on Bondi's beachfront.
In November 2018, Michael was snapped looking cosy with his pretty blonde assistant Sasha Armstrong aboard Anthony Bell’s luxury yacht – but the former captain’s wife Kyly was nowhere to be seen.
Sasha has worked as Michael’s assistant for a number of years and she appeared very close and friendly with her boss while enjoying her time aboard the vessel.
A few weeks later, Kyle took to social media to reveal the secret of their marriage.
“Dates with you,” she captioned an Instagram snap of her and Michael smiling into the camera. “NEVER STOP DATING."
The couple have split after seven years of marriage in what is set to be a $40m divorce.
