Latest news with #mediaacquisition
CNN
23-05-2025
- Business
- CNN
Private equity firm buys The Telegraph, ending two-year 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. Get Reliable Sources newsletter Sign up here to receive Reliable Sources with Brian Stelter in your inbox. 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.'
CNN
23-05-2025
- Business
- CNN
Private equity firm buys The Telegraph, ending two-year 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. Get Reliable Sources newsletter Sign up here to receive Reliable Sources with Brian Stelter in your inbox. 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.'
Al Jazeera
23-05-2025
- Business
- Al Jazeera
US investment Firm RedBird to buy Telegraph newspaper
A consortium led by US investment firm RedBird Capital Partners has agreed to buy the publisher of the United Kingdom's 170-year-old Daily Telegraph newspaper for about $674m (500 million pounds). Redbird said it has reached an agreement in principle to become controlling owner of the Telegraph Media Group, ending a lengthy takeover saga for the conservative-leaning newspaper on Friday. Gerry Cardinale, founder and managing partner of RedBird, said the sale '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'. The Telegraph group, previously owned by the UK's Barclay family, was put up for sale two years ago to help pay off the family's debts. It publishes the Daily and Sunday Telegraph newspapers and weekly newsmagazine The Spectator, which all are closely allied to the UK's Conservative Party. In 2023, there was an offer to buy the publications from RedBird IMI, a consortium backed by RedBird Capital Partners and Sheikh Mansour bin Zayed Al Nahyan, a member of Abu Dhabi's royal family and the vice president of the United Arab Emirates. But the consortium pulled out last year following strong opposition from the UK government, which launched legislation to block foreign state ownership of the British press. Under the deal, Abu Dhabi's IMI will take a minority stake of not more than 15 percent in the Telegraph as a member of the consortium. The sale must be approved by British regulators. RedBird has investments in football team AC Milan, the parent company of Liverpool football club and film production company Skydance. Telegraph Media Group chief executive Anna Jones said that 'RedBird Capital Partners have exciting growth plans that build on our success — and will unlock our full potential across the breadth of our business.' The Spectator was sold in September to British hedge fund investor Paul Marshall.
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.
The Independent
23-05-2025
- Business
- The Independent
US investment firm Redbird agrees to buy Britain's venerable Telegraph newspaper
A consortium led by U.S. investment firm RedBird Capital Partners has agreed to buy the publisher of Britain's 170-year-old Daily Telegraph newspaper for about 500 million pounds ($674 million), the two sides said Friday. Redbird said it has reached an agreement in principle to become controlling owner of the Telegraph Media Group, ending a lengthy takeover saga for the conservative-leaning newspaper. Gerry Cardinale, founder and managing partner of RedBird, said the sale '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.' The group, previously owned by Britain's Barclay family, was put up for sale two years ago to help pay off the family's debts. It published the daily and Sunday Telegraph newspapers and weekly newsmagazine The Spectator, which all are closely allied to Britain's Conservative Party. In 2023 there was an offer to buy the publications from RedBird IMI, a consortium backed by RedBird Capital Partners and Sheikh Mansour bin Zayed Al Nahyan, a member of Abu Dhabi's royal family and the vice president of the United Arab Emirates. But the consortium pulled out last year following strong opposition from the U.K. government, which launched legislation to block foreign state ownership of the British press. The Spectator was sold separately in September to British hedge fund investor Paul Marshall. Telegraph Media Group chief executive Anna Jones said, 'RedBird Capital Partners have exciting growth plans that build on our success — and will unlock our full potential across the breadth of our business.'
