US-based private investment firm Redbird Capital Partners has bought the Telegraph ending nearly two years in ownership limbo for the newsbrand.
Redbird said Abu Dhabi government-backed International Media Investments, which originally had the majority stake under a plan to buy Telegraph Media Group in 2023 but was stymied by the then-Conservative government stopping foreign state investment in newspapers, will take a minority investment.
The size of IMI’s investment will depend on secondary legislation currently being developed: they could be allowed to own up to 15% under current plans.
Discussions are also underway with unnamed UK-based minority investors with expertise in print media.
Redbird said the deal, currently an in-principle agreement, gives The Telegraph a total enterprise valuation of £500m.
The original Redbird IMI deal announced in November 2023 which saw the joint venture pay £600m to Lloyds secured against The Telegraph and The Spectator (since separately sold to GB News investor and Unherd owner Sir Paul Marshall for £100m). This followed Lloyds taking over control of Telegraph Media Group in June 2023 to recoup debts owed by the Barclay family.
Redbird said it plans to work with The Telegraph’s current management team – including editor Chris Evans and chief executive Anna Jones – to grow the brand internationally, especially in the US.
It also said they would develop new content verticals in areas like travel and events to maximise the commercial opportunities from their affluent subscriber base.
The Telegraph does not routinely share its subscriber figures but in January 2024 it had 688,012 digital subscriptions, 117,586 in print and 230,112 across Telegraph Wine Cellar, Telegraph Puzzles and Chelsea Magazine Company.
Redbird founder and managing partner Gerry Cardinale said: “This transaction marks the start of a new era for The Telegraph as we look to grow the brand in the UK and internationally, invest in its technology and expand its subscriber base.
“We believe that the UK is a great place to invest, and this acquisition is an important part of Redbird’s growing portfolio of media and entertainment companies in the UK,” he continued, referring to a portfolio that includes TV and film production companies All3Media and Fulwell Entertainment and the pending acquisition of Channel 5.
“Having now spent time with Chris Evans, Anna Jones and the entire senior management team at The Telegraph, we have tremendous conviction in the growth potential of this incredibly important cultural institution.”
Redbird said it has “ambitious growth plans” and will invest in talent from reporters to commentators. It also pledged to “remove barriers to growth and accelerate the transition to digital”.
Editor Evans said: “The Telegraph has made enormous progress in recent years since the launch of its digital subscriptions strategy, thanks to the hard work of its brilliant staff. But there is much more that can be achieved.
“With the right plan and the right investment by ambitious new owners, this venerable title can look forward to an era of unprecedented success.”
Jones said: “Telegraph Media Group is an award-winning news media organisation, with exceptional journalism at its heart, supported by leading commercial expertise, a commitment to innovation and a laser focus on data to drive strategy.
“Redbird Capital Partners have exciting growth plans that build on our success – and will unlock our full potential across the breadth of our business.”
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