The Barclay family has made a fresh offer — backed by RedBird IMI — to reclaim the Telegraph newspaper from Lloyds Banking Group Plc.
RedBird IMI would lend money to the Barclay family to enable them to repay the roughly £1.1 billion ($1.4 billion) of debt it owes, according to people familiar with the matter. The media investment vehicle is led by former CNN president Jeff Zucker and is a joint venture between RedBird Capital Partners and the United Arab Emirates-based International Media Investments.
Representatives for Lloyds, the Barclay family and RedBird IMI declined to comment.
Lloyds seized the Telegraph titles along with the Spectator magazine from the Barclay family in June to claw back debts, removing Barclay family members from their director positions and placing the businesses in receivership. Goldman Sachs Group Inc. has been appointed by the receivers to run the sales process for the Telegraph Media Group Ltd. and the Spectator (1828) Ltd.
The politically influential titles have already attracted interest from various bidders. US billionaire and major Republican donor Ken Griffin and hedge fund manager Paul Marshall have discussed a potential bid, people familiar with the matter have said previously. Middle Eastern investors have held talks with Daily Mail & General Trust Plc about supporting potential offers from the rival news publisher.
Read More: Ken Griffin in Talks With Paul Marshall Over Telegraph Bid
But Axel Springer has signaled it is unlikely to bid, with the German publisher’s CEO saying last month it is focused on digital-only assets.
Sky News reported details of the latest Barclay bid earlier.
--With assistance from Katherine Griffiths.
