RedBird Withdraws £500m Bid for Telegraph Media Group, Leaving Future Uncertain
RedBird Capital Partners has withdrawn its £500 million bid to acquire the Telegraph Media Group. The decision was confirmed by RedBird in a statement and reported by Sky News. The bidding consortium was led by RedBird and included the UAE-based Investment Corporation of Dubai (IMI), which was to take a 15% stake in the deal.
Funding for the proposed acquisition also involved contributions from Daily Mail owner Lord Rothermere and billionaire Leonard Blavatnik. However, the original proposal faced objections related to foreign state ownership of British national newspapers, which played a part in blocking the deal.
The crisis began approximately two-and-a-half years ago when lenders seized control of the Telegraph Media Group from the Barclay family. RedBird's Gerry Cardinale had previously reiterated an interest in owning the titles, but newsroom unrest was cited as a factor influencing RedBird's decision to withdraw its bid. As a result, the future of the Telegraph Media Group remains uncertain.
