Latest news with #AbuDhabi-backed
Yahoo
2 days ago
- Business
- Yahoo
RedBird Strikes Deal to Acquire U.K.'s Telegraph Media Group, Vows to Invest in Digital, Journalists
U.S. private equity firm RedBird Capital Partners said Friday that it has reached an in-principle agreement to acquire The Telegraph Media Group at a total enterprise valuation of £500 million ($673 million) to become the U.K. media company's sole controlling owner. 'It is the largest investment in U.K. print media in a decade and unlocks a new era of growth for the 170-year-old title,' the companies said. The ownership of the conservative newspaper and its related offerings has been in question after the Abu Dhabi-backed RedBird IMI agreed to buy The Telegraph and the Spectator magazine in 2023, with the U.K. government then cracking down on foreign state investment in British newspapers, forcing a sale. More from The Hollywood Reporter Vicky Krieps, Christian Friedel Join 'The Idiots' German Director Christian Petzold Named President of Austria's Viennale Prince William Launches 'Guardians' Docuseries on Rangers on BBC Earth Digital Platforms The Telegraph wrote that RedBird Capital, which provided part of RedBird IMI's funding for the original deal, was expected to be joined in the new ownership consortium by British media investors. 'RedBird is in discussions with select U.K.-based minority investors with print media expertise and strong commitment to upholding the editorial values of The Telegraph,' the deal announcement noted. Abu Dhabi's International Media Investments (IMI) 'will also participate in the acquisition as a minority investor, subject to the passage of secondary legislation regarding foreign ownership thresholds,' it highlighted. RedBird said its growth strategy includes 'capital investment in the group's digital operations to continue driving subscriptions, using best-in-class data analytics and artificial intelligence tools to expand the value proposition to its core subscriber base and potential new subscribers.' RedBird also said it has 'ambitious growth plans that focus on investing in top journalistic talent, from award-winning reporters to opinion-leading commentators.' A key part of RedBird's strategy is expanding The Telegraph's global reach, particularly in the United States, 'leveraging the title's iconic brand and authoritative reporting to drive new audiences seeking world-class independent journalism. Collaboration across RedBird's portfolio will create unique partnership opportunities, blending tradition with innovation to expand The Telegraph's position as a global leader in quality journalism.' RedBird also said it would 'build on the strong financial foundations established by the current management team' and work with it to grow the brand internationally, with a focus on the U.S. where RedBird has a strong strategic presence across news, media and sports. 'Together, RedBird and TMG senior leadership will work to develop new content verticals in areas such as travel and events to maximize the commercial opportunities from a growing international and mass affluent subscriber base,' the companies said. With this latest transaction, RedBird said it 'has emerged as one of the largest investors in U.K. media, sports and entertainment, with a portfolio including Premier League Champion Liverpool FC; All3Media, the U.K.'s largest independent television, film and digital production and distribution company; Fulwell Entertainment, one of the U.K.'s leading television, film and music production companies; Build a Rocket Boy, one of the U.K.'s largest independent video gaming and entertainment studios; and the pending acquisition of the U.K.'s Channel 5 as a result of Skydance Entertainment's merger with Paramount Global.'Said Gerry Cardinale, founder and managing partner of RedBird: 'This transaction marks the start of a new era for The Telegraph as we look to grow the brand in the U.K. and internationally, invest in its technology, and expand its subscriber base. We believe that the U.K. is a great place to invest, and this acquisition is an important part of RedBird's growing portfolio of media and entertainment companies in the U.K.' Added Anna Jones, CEO of Telegraph Media Group: 'Telegraph Media Group is an award-winning news media organization, with exceptional journalism at its heart, supported by leading commercial expertise, a commitment to innovation and a laser focus on data to drive strategy.' She added that RedBird Capital Partners has 'exciting growth plans that build on our success – and will unlock our full potential across the breadth of our business.' Best of The Hollywood Reporter How the Warner Brothers Got Their Film Business Started Meet the World Builders: Hollywood's Top Physical Production Executives of 2023 Men in Blazers, Hollywood's Favorite Soccer Podcast, Aims for a Global Empire Sign in to access your portfolio
Business Mayor
23-05-2025
- Business
- Business Mayor
Gerry Cardinale's RedBird to buy Telegraph newspaper in £500mn deal
Roula Khalaf, Editor of the FT, selects her favourite stories in this weekly newsletter. RedBird Capital Partners has agreed to buy the Telegraph Media Group in a £500mn deal, signalling an end to one of the most protracted and tortuous sales of a British newspaper in recent history. RedBird said the deal would make it the sole controlling owner, leaving Abu Dhabi's IMI with a minority stake, after the British government changed the law to stop the newspaper from becoming owned by a foreign state-backed fund. The process to sell the Telegraph was kicked off two years ago when Lloyds Banking Group seized control from the Barclay family, which had owned the business since 2004, because of unpaid debts. A deal struck to buy the Telegraph Media Group by RedBird IMI, a separate joint venture with three-quarters of its funding from Abu Dhabi, for about £550mn was then blocked by the former Conservative government. Backbenchers worried about giving a foreign state control of an influential British newspaper had lobbied against that deal. The UK government last week confirmed plans to cap foreign state ownership of British national newspapers at 15 per cent, with IMI expected to take the full allotment open to the Abu Dhabi-backed group. Redbird is still in talks with a number of UK-based investors to join a consortium, including Lord Rothermere's DMGT, which owns the Daily Mail and could take about 10 per cent, according to people familiar with the matter. RedBird is expected to use about £100mn in debt finance, giving the deal an enterprise value of £500mn. It wants to invest in the group's digital operations to drive subscriptions, and bring in greater use of artificial intelligence tools. RedBird also wants to grow the brand internationally, with a focus on the US, where it envisages potential tie-ups with its roster of media and sports assets. Gerry Cardinale, founder and managing partner of RedBird, said: 'This transaction marks the start of a new era for The Telegraph as we look to grow the brand in the UK and internationally, invest in its technology and expand its subscriber base.' Cardinale said he would work with the UK government and regulators to complete the acquisition process, which will face scrutiny under public interest, competition and media plurality rules. The deal is also likely to face criticism from politicians in the UK, some of whom have been vocally opposed to foreign states owning any stakes in British national newspapers. For the deal to proceed, the government will also need to lift the block imposed at the end of 2023 that in effect prevented the debt acquired by RedBird IMI from being converted into equity ownership. The Financial Times first reported the new bid to take control of the newspaper by Cardinale and the involvement of Rothermere. The group has become one of the largest investors in UK media, sports and entertainment, partly through its close links with Abu Dhabi in RedBird IMI. Last year, RedBird IMI acquired All3Media, the UK's largest independent TV production company and RedBird itself separately owns a stake in Premier League club Liverpool, and will also have control of the UK's Channel 5 if Skydance's merger with Paramount Global is cleared by regulators in the US.
Yahoo
23-05-2025
- Business
- Yahoo
Private equity firm buys The Telegraph, ending two-year sale saga
RedBird Capital Partners announced on Friday that it has purchased Telegraph Media Group for £500 million (nearly $675 million), concluding a protracted bid to acquire the news company. The deal makes US-based RedBird the sole controlling owner of The Telegraph, the right-leaning British news outlet founded in 1855. Per the deal, RedBird will invest funds in The Telegraph's digital operations to help continue growing subscriptions and expand the outlet's foothold in the United States, where RedBird already has a constellation of media investments. The deal comes after RedBird struggled for two years to acquire The Telegraph, stymied in large part by a conservative British government that restricted foreign governments from owning newspapers and capped foreign state-owned investment by a publisher at 15%. The UK's Labour Party, which swept into power in July 2024, announced last week that it would relax restrictions on foreign investment. 'This transaction marks the start of a new era for The Telegraph as we look to grow the brand in the UK and internationally, invest in its technology and expand its subscriber base,' RedBird CEO Gerry Cardinale said in a statement. In January 2024, Jeff Zucker, the former CNN president, flew to London to pitch a takeover of the media company to Ofcom on behalf of RedBird IMI, where he is the chief executive. The Telegraph went up for sale in 2023 after Lloyds Banking Group took control of unpaid debts from the Barclay family, which acquired the newspaper in 2004. The Barclay family regained control of the Telegraph in December 2023 with the help of a loan from RedBird IMI, an Abu Dhabi-backed joint venture. However, the British government blocked the transfer of ownership to RedBird. The Friday deal avoided that rule by providing IMI only a minority share in the paper. RedBird's focus on the US market comes as other British media outlets, including the BBC, The Guardian, and The Independent, have expanded their US coverage, often to great success. According to a May report, The Guardian grew its overall revenue by 25% on year, while The Independent in January reported a 75% year-over-year audience increase. RedBird has major investments in media, entertainment, and sports in the UK. In 2024, the firm acquired All3Media, a British film and TV production and distribution company. The company also has a stake in the Premier League soccer club Liverpool and owns AC Milan in Italy's Serie A. RedBird will also acquire the UK's Channel 5 if Paramount Global's merger with Skydance is approved. RedBird has also invested in Ben Affleck and Matt Damon's Artists Equity, LeBron James and Maverick Carter's SpringHill Company, the YES Network, and has helped Skydance finance several productions, including Amazon's 'Reacher' and Paramount's 'Top Gun: Maverick.' Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
The Advertiser
23-05-2025
- Business
- The Advertiser
RedBird Capital-led group agrees to buy UK's Telegraph
A trans-Atlantic consortium led by RedBird Capital Partners has struck a deal to buy Britain's Telegraph newspaper, the title says, spending Stg500 million ($A1 billion) to secure control. The ownership of the right-leaning broadsheet has been in flux after the Abu Dhabi-backed RedBird IMI bought the Telegraph titles and the Spectator magazine in 2023, before Britain's then government moved to ban foreign state investment in British newspapers, forcing it to sell. The Telegraph said on Friday the US private equity firm RedBird Capital, which provided a quarter of RedBird IMI's funding, was moving to take direct control and was expected to be joined in the ownership group by British media investors. The ownership of the Telegraph, one of Britain's best known newspapers which strongly backed the country's vote to leave the European Union, has raised questions about the independence of the media and foreign states buying political influence. Britain's previous Conservative government in 2024 banned foreign state investment in British newspapers, blocking RedBird IMI, run by former CNN boss Jeff Zucker and with the majority of its funding from Abu Dhabi, from owning the Telegraph. However, the Labour government said earlier in May that it proposed to allow foreign state-owned investors to own up to 15 per cent of British newspaper publishers. The Telegraph said no final agreements were in place and regulatory hurdles would loom. "We believe the UK is a great place to invest, and this acquisition is an important part of RedBird's growing portfolio of media and entertainment companies in the UK," Gerry Cardinale, the founder of the US private equity firm, was quoted by the newspaper as saying. A trans-Atlantic consortium led by RedBird Capital Partners has struck a deal to buy Britain's Telegraph newspaper, the title says, spending Stg500 million ($A1 billion) to secure control. The ownership of the right-leaning broadsheet has been in flux after the Abu Dhabi-backed RedBird IMI bought the Telegraph titles and the Spectator magazine in 2023, before Britain's then government moved to ban foreign state investment in British newspapers, forcing it to sell. The Telegraph said on Friday the US private equity firm RedBird Capital, which provided a quarter of RedBird IMI's funding, was moving to take direct control and was expected to be joined in the ownership group by British media investors. The ownership of the Telegraph, one of Britain's best known newspapers which strongly backed the country's vote to leave the European Union, has raised questions about the independence of the media and foreign states buying political influence. Britain's previous Conservative government in 2024 banned foreign state investment in British newspapers, blocking RedBird IMI, run by former CNN boss Jeff Zucker and with the majority of its funding from Abu Dhabi, from owning the Telegraph. However, the Labour government said earlier in May that it proposed to allow foreign state-owned investors to own up to 15 per cent of British newspaper publishers. The Telegraph said no final agreements were in place and regulatory hurdles would loom. "We believe the UK is a great place to invest, and this acquisition is an important part of RedBird's growing portfolio of media and entertainment companies in the UK," Gerry Cardinale, the founder of the US private equity firm, was quoted by the newspaper as saying. A trans-Atlantic consortium led by RedBird Capital Partners has struck a deal to buy Britain's Telegraph newspaper, the title says, spending Stg500 million ($A1 billion) to secure control. The ownership of the right-leaning broadsheet has been in flux after the Abu Dhabi-backed RedBird IMI bought the Telegraph titles and the Spectator magazine in 2023, before Britain's then government moved to ban foreign state investment in British newspapers, forcing it to sell. The Telegraph said on Friday the US private equity firm RedBird Capital, which provided a quarter of RedBird IMI's funding, was moving to take direct control and was expected to be joined in the ownership group by British media investors. The ownership of the Telegraph, one of Britain's best known newspapers which strongly backed the country's vote to leave the European Union, has raised questions about the independence of the media and foreign states buying political influence. Britain's previous Conservative government in 2024 banned foreign state investment in British newspapers, blocking RedBird IMI, run by former CNN boss Jeff Zucker and with the majority of its funding from Abu Dhabi, from owning the Telegraph. However, the Labour government said earlier in May that it proposed to allow foreign state-owned investors to own up to 15 per cent of British newspaper publishers. The Telegraph said no final agreements were in place and regulatory hurdles would loom. "We believe the UK is a great place to invest, and this acquisition is an important part of RedBird's growing portfolio of media and entertainment companies in the UK," Gerry Cardinale, the founder of the US private equity firm, was quoted by the newspaper as saying. A trans-Atlantic consortium led by RedBird Capital Partners has struck a deal to buy Britain's Telegraph newspaper, the title says, spending Stg500 million ($A1 billion) to secure control. The ownership of the right-leaning broadsheet has been in flux after the Abu Dhabi-backed RedBird IMI bought the Telegraph titles and the Spectator magazine in 2023, before Britain's then government moved to ban foreign state investment in British newspapers, forcing it to sell. The Telegraph said on Friday the US private equity firm RedBird Capital, which provided a quarter of RedBird IMI's funding, was moving to take direct control and was expected to be joined in the ownership group by British media investors. The ownership of the Telegraph, one of Britain's best known newspapers which strongly backed the country's vote to leave the European Union, has raised questions about the independence of the media and foreign states buying political influence. Britain's previous Conservative government in 2024 banned foreign state investment in British newspapers, blocking RedBird IMI, run by former CNN boss Jeff Zucker and with the majority of its funding from Abu Dhabi, from owning the Telegraph. However, the Labour government said earlier in May that it proposed to allow foreign state-owned investors to own up to 15 per cent of British newspaper publishers. The Telegraph said no final agreements were in place and regulatory hurdles would loom. "We believe the UK is a great place to invest, and this acquisition is an important part of RedBird's growing portfolio of media and entertainment companies in the UK," Gerry Cardinale, the founder of the US private equity firm, was quoted by the newspaper as saying.
Business Times
23-05-2025
- Business
- Business Times
RedBird Capital agrees to a £500 million deal to buy UK's Telegraph newspaper
[LONDON] RedBird Capital Partners, the US fund that bought Britain's Telegraph newspaper in partnership with UAE-owned IMI, will take control of the publication after agreeing a deal that values the enterprise at £500 million (S$868 million). The ownership of the right-leaning broadsheet has been in flux after the Abu Dhabi-backed RedBird IMI bought the Telegraph and the Spectator magazine in 2023, before Britain's then government moved to ban foreign state investment in British newspapers, forcing it to sell. The move followed an outcry among some politicians over the independence of the media and whether foreign states would be able to buy political influence. The current government's decision last week to allow foreign state-owned investors to own up to 15 per cent of British newspaper publishers helped unlock a deal. RedBird Capital, which provided a quarter of RedBird IMI's funding for the initial deal, will become the sole control owner and is in talks with 'select UK-based minority investors with print media expertise', it said in a statement. IMI will participate as a minority investor subject to Britain's legislation on foreign state-backed ownership. 'We believe the UK is a great place to invest, and this acquisition is an important part of RedBird's growing portfolio of media and entertainment companies in the UK,' Gerry Cardinale, the founder of the US private equity firm, said in a statement. The Telegraph said no final agreements were in place and there would be regulatory hurdles to clear. RedBird Capital Partners was formed in 2014 and is investing in sports, media and financial services companies. It manages about US$12 billion in assets globally, according to its website. RedBird's investments include AC Milan, Skydance Media and its pending merger with Paramount Global. REUTERS
