May 23, 2025 04:55 PM IST
The acquisition follows the UK government’s previous intervention in media ownership
The Telegraph is set to be acquired by a consortium led by US investment firm RedBird Capital for approximately £500 million, representing another development in the challenging two-year acquisition journey of the 170-year-old newspaper.
RedBird IMI, with backing from US partners but primarily owned by Sheikh Mansour bin Zayed Al Nahyan, the UAE’s vice president, had initially planned to acquire the media organization and The Spectator in 2023. However, the UK government intervened last year with new regulations prohibiting ownership of the press by foreign states. Since then, The Spectator has been sold to Sir Paul Marshall’s OQS Ventures for £100 million.
Recently, RedBird Capital announced that it has arrived at a preliminary agreement to become the principal owner of the Telegraph. The firm has committed to enhancing capital investment in digital ventures, subscription services, and journalism as it aims to elevate the brand internationally.
Furthermore, Abu Dhabi’s IMI is expected to acquire a minority share in the Telegraph as part of the consortium, limited to a maximum of 15% in compliance with the recently established government cap on foreign state ownership of newspapers and news magazines.
In addition, RedBird has engaged in discussions with Lord Rothermere’s DMGT, which owns the Daily Mail and Metro, regarding a potential nearly 10% equity stake. RedBird has diversified interests, including stakes in AC Milan, the film production powerhouse Skydance, and the Fenway Sports Group, owners of Liverpool FC.
Gerry Cardinale, the founder and managing partner of RedBird, stated: “This deal signifies the beginning of a new chapter for The Telegraph. We aspire to expand the brand within the UK and beyond, invest in technology, and grow our subscription base. We see significant potential in the UK market, and this acquisition is a critical step in RedBird’s expansion within the media and entertainment sector.”
Anna Jones, CEO of Telegraph Media Group, remarked: “Telegraph Media Group is renowned for its exceptional journalism, backed by innovative commercial strategies focused on data-driven decisions. RedBird Capital Partners brings ambitious growth strategies that will harness our strengths and enable us to realize our full potential across all sectors of our business.”