Daily Mail Owner Enters Exclusive Talks to Buy The Telegraph for £500m
Lord Rothermere's Daily Mail & General Trust entered exclusive discussions to acquire The Telegraph for £500m, according to announcements from the involved parties.
The agreement with RedBird IMI aims to finalize terms and prepare regulatory submissions, with the process expected to move quickly.
DMGT plans to invest substantially in Telegraph Media Group to accelerate its international expansion, focusing on the USA where the Daily Mail operates with established editorial and commercial teams.
The Telegraph would remain editorially independent from other DMGT titles, which include the Metro, the i and New Scientist. "I have long admired the Daily Telegraph," said Rothermere.
"My family and I have an enduring love of newspapers and for the journalists who make them. The Daily Telegraph is Britain’s largest and best quality broadsheet newspaper, and I have grown up respecting it. It has a remarkable history and has played a vital role in shaping Britain’s national debate over many decades."
He added that Chris Evans serves as an excellent editor, with intentions to provide resources for newsroom investment.
"Under our ownership, the Daily Telegraph will become a global brand, just as the Daily Mail has," Rothermere said.
A spokesperson for RedBird IMI stated:
"DMGT and RedBird IMI have worked swiftly to reach the agreement announced today, which will shortly be submitted to the Secretary of State." The deal would provide certainty to Telegraph staff after a sale process lasting over two years.
It follows the collapse of a prior £500m bid by a RedBird Capital-led consortium less than two weeks ago, amid concerns over links to Chinese state actors and foreign state influence.
According to Sky News, Rothermere had positioned for a minority stake of under 10% in that earlier consortium.
An initial attempt by RedBird IMI, involving Abu Dhabi's Sheikh Mansour bin Zayed al-Nahyan, failed after government rules barred foreign states from owning UK newspapers.
The combination of Mail and Telegraph titles will face scrutiny from the competition regulator and Culture Secretary Lisa Nandy.
DMGT expressed confidence in a swift and positive regulatory outcome, noting that news publishers compete against global online platforms and digital sources.
The acquisition could place Rothermere in control of around half the national newspaper market, potentially prompting sales of Metro or the i.
It complies with foreign state influence regulations, as no such investment appears in the funding structure.
The Telegraph's sale process began after Lloyds Banking Group seized the business from the Barclay family in June 2023 over £1.2bn in unpaid debts.
The Barclays had acquired the Daily Telegraph in 2004 for £665m. RedBird IMI repaid the debts in December 2023, allowing the family temporary control in a planned debt-for-equity swap.
That takeover required approval from Ofcom on freedom of expression and plurality, plus the Competition and Markets Authority on competition, with reports due January 26, 2024.
Political pressure blocked a £600m purchase by the UAE-backed group in May 2024 via legislation against foreign-government-backed ownership of British media.
The media group reported a £244.6m loss for 2023 after setting aside £277.6m against loans to the Barclay family deemed unlikely to be repaid.
A review identified potential irregularities in transactions with group companies and related parties, but no adjustments occurred to assets or liabilities.
