US investment firm RedBird to acquire ‘The Telegraph’ for £500 million

LONDON: The Barclay family, former owners of The Telegraph Group, is expected to use the proceeds from its sale to settle significant debts. A consortium led by US-based investment firm RedBird Capital Partners has agreed to acquire the publisher of Britain’s historic Daily Telegraph for approximately £500 million (€595.5 million), announced on Friday.

RedBird indicated that it has reached a preliminary agreement to become the controlling owner of Telegraph Media Group, bringing an end to a prolonged takeover process for the traditionally conservative newspaper. Gerry Cardinale, RedBird’s founder and managing partner, stated that this acquisition “marks the beginning of a new chapter for The Telegraph,” emphasizing plans to expand the brand both within the UK and internationally, improve its technological capabilities, and grow its subscriber base.

Previously owned by the Barclay family, the Telegraph Group was put up for sale two years ago to help reduce the family’s substantial debts. The group publishes the Daily and Sunday Telegraph newspapers, as well as The Spectator magazine, all of which are known for their conservative stance and close ties to Britain’s Conservative Party.

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In 2023, there was an earlier bid involving a consortium called RedBird IMI—backed by RedBird Capital Partners and Sheikh Mansour bin Zayed Al Nahyan, a member of Abu Dhabi’s royal family and UAE vice president—to acquire the group. However, this deal was abandoned last year following strong opposition from the UK government, which introduced legislation to prevent foreign state ownership of the British press.

Under the current agreement, Abu Dhabi’s IMI will acquire a minority stake of no more than 15% in Telegraph Media Group as part of the consortium. The sale is subject to approval from British regulators.

RedBird’s portfolio includes investments in soccer team AC Milan, Liverpool Football Club’s parent company, and film studio Skydance. Telegraph Media Group’s CEO, Anna Jones, expressed optimism about the future, stating that “RedBird Capital Partners have exciting growth plans that will build on our successes and unlock our full potential across the business.”

Separately, The Spectator was sold in September to British hedge fund investor Paul Marshall.