Abu Dhabi-backed group ends bid to take over Telegraph newspaper
Al Jazeera
The move comes after the UK said it would bring forward legislation to block such state-backed takeover deals in media.
An Abu Dhabi-backed group planning to take over Britain’s Telegraph Media Group (TMG) has said it will withdraw after the UK government moved to block the deal.
RedBird IMI, a joint venture between US firm RedBird Capital and Abu Dhabi’s International Media Investments, struck a 1.2 billion-pound ($1.5bn) deal with TMG’s previous owners, the Barclay family, in November.
The agreement, which has faced opposition over its potential impact on free speech given Abu Dhabi’s press freedom record, saw RedBird IMI pay off bank debts in exchange for control of the media group.
However, last month the United Kingdom’s government said it would bring forward legislation to block such state-backed takeover deals in the industry, while Culture Secretary Lucy Frazer also considered a full regulatory probe.
The regulatory hurdles appear to have prompted RedBird IMI to now abandon the endeavour to own and control TMG, which also includes The Spectator magazine.
