It is one of the most famous rock 'n' roll guitars and was so good that Hendrix couldn't bring himself to burning it.
He switched it for a lesser model seconds before dousing it in lighter fluid as a stunt to mark the end of his set at the Monterey International Pop Festival in 1967.
Music memorabilia fans lined up to bid on the black Fender Stratocaster at the Playboy Club in Park Lane, London last night when the iconic lot went under the hammer, reported Daily Mail.
The moment Hendrix knelt down and poured lighter fluid onto the instrument before taking a match to it has become one of the most iconic images in rock history.
The guitar was later given to his record company Anim Limited, where it fell into the hands of James 'Tappy' Wright, a manager at the firm.
Wright, 69, from Newcastle, decided to sell it to help fund his retirement in Florida. It had been given a pre-sale estimate of 120,000 pounds but the sheer amount of interest in it led to the sale price to rocket.
Wright, who was also a roadie for The Animals, said, "The Who went on before Hendrix and Townshend smashed his guitar up and put the neck into the amp. Jimi was annoyed at this and asked for some lighter fuel. He just wanted to outdo Pete Townshend.
"He played the black guitar for most of the act and then right at the end he swapped it for a repaired one that he set fire to. At the time the black Fender was his favourite guitar and he didn't want to ruin it."
