Daily Mail owner DMGT has agreed to buy rival newspaper The Telegraph in a £500 million ($650 million) deal that would consolidate one of the most influential right-leaning media groups in the United Kingdom.
The announcement comes shortly after US investment firm RedBird Capital Partners withdrew its bid for The Telegraph last week. The title is one of the most prominent newspapers in Britain and has been at the centre of takeover speculation for months.
RedBird-IMI, a joint venture, had previously acquired the Telegraph Media Group and The Spectator magazine in 2023. However, the government blocked the transaction under rules preventing foreign state investment in UK news outlets.
RedBird later sought approval under a revised structure, with Abu Dhabi-backed IMI limited to a minority stake capped at 15%.
A source close to RedBird told Reuters that the regulatory clearance had progressed slower than anticipated, raising doubts about both timing and feasibility.
Growing internal resistance from senior figures inside The Telegraph newsroom also contributed to RedBird’s decision to abandon the bid.
The Financial Times, which first reported the DMGT acquisition, said the price was set at around £500 million to settle the amount previously spent by the RedBird-led consortium.
DMGT confirmed that both parties have entered a period of exclusivity to finalise the agreement and prepare regulatory submissions, which are expected to advance swiftly.
The company said the deal would comply with the UK’s Foreign State Influence regime, with no foreign state involvement in the funding structure.
The group had expressed interest in The Telegraph as early as 2023, and Sky News reported in May this year that DMGT was exploring a purchase of a 9.9% stake in the titles.
DMGT’s media portfolio includes The Mail on Sunday, Metro, The i Paper, and New Scientist. The company stated that The Daily Telegraph would retain editorial independence within the wider network.
A spokesperson for RedBird IMI said: “DMGT and RedBird IMI have worked swiftly to reach the agreement announced today, which will shortly be submitted to the Secretary of State.”
