Latest news with #RedbirdCapital
Forbes
23-05-2025
- Business
- Forbes
U.S. Investment Giant To Buy Britain's Telegraph Newspaper For $674 Million
Redbird Capital Partners has reached an agreement to acquire The Telegraph, one of Britain's oldest and most influential newspapers, in a £500 million ($674 million) deal. The Conservative-leaning newspaper had been the subject of a two-year takeover saga that began when The Telegraph and The Spectator magazine were seized by Lloyds bank after the Barclay family failed to repay debts of more than £1 billion. Redbird IMI, a joint venture between Redbird Capital and United Arab Emirates-based International Media Investments (IMI), effectively gained control of the titles in 2023, after providing a £600 million loan to the Barclay family. But the Conservative government at the time blocked the acquisition by adopting new regulations preventing foreign states from taking ownership of the press. Redbird Capital said Friday that it would become the 'sole control owner' of The Telegraph, and the firm is in talks with U.K.-based investors about joining the group as minority shareholders. Redbird Capitals also said IMI will participate as a minority investor subject to ongoing legislation on foreign ownership. IMI is controlled by Sheikh Mansour bin Zayed Al Nahyan, the vice-president of the UAE and owner of Manchester City football club. Last week, the current Labour government announced plans to allow foreign states to own up to 15% of British newspapers. Culture Secretary Lisa Nandy said the change will limit the scope for foreign state control or influence of news organizations while still providing greater flexibility in seeking investment that supports their long-term sustainability. Other media owners were reportedly in talks to acquire The Telegraph, including the British-born owner of The New York Sun, Dovid Efune, who was still seeking support for his bid on Friday afternoon. Efune pointed out in an article that was shared on X that Redbird Capital still has significant hurdles to overcome, and no final agreements are in place. He claims that his offer for The Telegraph is 'within sight of the finish line, with the bulk of the needed funding committed.' Efune has assembled what he describes as a 'distinctly British' bid for The Telegraph, which includes the backing of financier Jeremy Hosking and former Conservative cabinet minister Nadhim Zahawi. 'Our acquisition group is also distinctly devoted to journalism,' Efune wrote in the article. 'We don't come with a team of financial engineers or restructuring gurus.' 'I would urge all of The Telegraph's stakeholders to hold on just a little longer and make known your support for the British bid,' he added. Gerry Cardinale, founder and managing partner of Redbird Capital, said the acquisition marks the beginning of a 'new era for The Telegraph' as he seeks to grow the brand in the U.K. and internationally. He plans to invest in the newspaper's technology and expand its subscriber base. 'We believe that 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 U.K.,' Cardinale said. Cardinale founded Redbird Capital in 2014. The firm, which invests in sports, media and financial services companies, said it currently has $12 billion in assets under management. Redbird Capital owns the Italian football club AC Milan and has an investment in Fenway Sports Group, the owner of the Boston Red Sox baseball team and Liverpool Football Club. The firm also has a stake in Skydance Media, which is currently in the process of merging with TV and film giant Paramount Global.
Yahoo
23-05-2025
- Business
- Yahoo
Telegraph sale 'agreed in principle' after two-year ownership impasse
A £500m deal to end the two-year ownership impasse at the Daily Telegraph has been agreed "in principle", it has been announced. A consortium led by US firm Redbird Capital was set to take control of Telegraph Media Group (TMG), with state-backed Abu Dhabi investment vehicle IMI among the investors. The pair's original joint venture, known as RedBird IMI, had originally agreed to buy the Telegraph titles in 2023. But prospects for a deal were held up by the previous Conservative government's subsequent ban on foreign state ownership of UK newspapers. Money latest: That ban was based on fears around editorial independence, but the rules were relaxed earlier this month by the current government which said a holding of up to 15% was acceptable. It is understood that UK-based media investors would be among the proposed owners within the consortium. Sky News reported on Monday that the Daily Mail's owner had been in talks over involvement. The Telegraph newspaper itself reported that regulatory hurdles remained - a factor that could yet scupper completion of the deal. Anna Jones, TMG chief executive, said: "Telegraph Media Group is an award-winning news media organisation, with exceptional journalism at its heart, supported by leading commercial expertise, a commitment to innovation and a laser focus on data to drive strategy. "RedBird Capital Partners have exciting growth plans that build on our success - and will unlock our full potential across the breadth of our business." RedBird, whose other UK interests include a 10% stake in the US group behind Liverpool FC, said its growth strategy would include "capital investment in digital operations, subscriptions and journalism". Its statement continued: "RedBird will build on the strong financial foundations established by the current management team and will work with them to grow the brand internationally, with a focus on the United States 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 maximise the commercial opportunities from a growing international and mass affluent subscriber base." Redbird founder Gerry Cardinale added: "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. "We believe that 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."
Sky News
23-05-2025
- Business
- Sky News
Telegraph sale: 'Preliminary deal' to end two-year ownership impasse
A "preliminary" deal to end the two-year ownership impasse at the Daily Telegraph has ben agreed, according to the newspaper. It reported on Friday that a consortium led by US firm Redbird Capital was set to take control. Prospects for a deal were understood to have been held up by the previous Conservative government's ban on foreign state ownership but those rules were relaxed earlier this month. This breaking news story is being updated and more details will be published shortly. Please refresh the page for the fullest version.
