UK launches public-interest, competition probe into Daily Mail-Telegraph takeover
Sign up now: Get ST's newsletters delivered to your inbox
A proposed £500 million (S$860 million) purchase would bring the Daily Telegraph and Sunday Telegraph newspapers under the same umbrella as the Daily Mail, Mail on Sunday, Metro and The i Paper.
PHOTO: AFP
- Britain's Culture Minister ordered a probe into DMGT's Telegraph acquisition over public interest and competition concerns, including increased market share.
- The deal would boost DMGT's newspaper market share to 56.14%, sparking concerns about media plurality and potential alignment of editorial views.
- This follows over two years of uncertainty for the Telegraph; a previous US firm bid collapsed in November amid regulatory hurdles and internal opposition.
AI generated
LONDON - Britain’s culture minister Lisa Nandy ordered a formal regulatory investigation into DMGT’s proposed acquisition of the Telegraph Media Group, saying on Feb 12 the deal raises public interest and competition concerns.
Ms Nandy said in a written statement that she had issued a so-called public interest intervention notice due to concerns the acquisition could affect the “plurality of views” in British media.
The proposed £500 million (S$860 million) purchase
DMGT previously said the Telegraph would remain editorially independent.
“My decision to issue (the notice) relates to concerns I have that public interest considerations... may be relevant to the proposed acquisition of TMGH by DMGT, and that these warrant further investigation,” Ms Nandy wrote.
DMGT said it remained committed to investing in the Telegraph, particularly in the United States, and planned to preserve the Telegraph’s editorial independence.
The Telegraph did not immediately respond to requests for comment.
Separately, Prince Harry and six other claimants
Ms Nandy’s decision sends the deal to Britain’s media regulator Ofcom and the Competition and Markets Authority to examine media plurality and competition issues.
In a letter to the parties and published on the government’s website, Ms Nandy said DMGT would gain the ability to align editorial stances between the Mail titles and the Telegraph, and that this potential alone justifies further scrutiny, even if the group insists it has no incentive to merge editorial lines.
DMGT already controls 50.62 per cent of Britain’s daily national newspaper market. The Daily Telegraph accounts for 5.52 per cent of daily circulation.
If the deal is approved, DMGT’s share would rise to 56.14 per cent.
Ofcom and the CMA told Reuters they would report back to Ms Nandy by June 10, a deadline she has set.
‘Over two years of uncertainty’
A separate bid by US investment firm RedBird Capital Partners collapsed in November, extending a two-and-half-year period of uncertainty over the ownership of one of Britain’s biggest newspapers.
RedBird had tried to acquire the titles through a joint venture with Abu Dhabi-backed IMI in 2023, before the government introduced legislation banning foreign state investment in British newspapers.
RedBird later sought approval under a revised structure that would have capped IMI’s involvement at 15 per cent.
But the company withdrew its bid in November after a slower-than-expected regulatory process and internal opposition from senior Telegraph newsroom figures.
The collapse left the Telegraph Media Group in limbo as the government and potential buyers assessed alternative options.
Ms Nandy’s decision marks the latest chapter in a long-running saga that has left the right-leaning broadsheet without a stable owner since 2023.
DMGT has argued its acquisition would provide long-term certainty and investment for the titles while keeping their editorial teams independent. REUTERS
