Murdoch and Daily Mail plot to join bid for Telegraph

RUPERT MURDOCH and the owner of the Daily Mail have reportedly held talks about a potential joint takeover of The Telegraph alongside Uae-backed Redbird IMI, as opposition to its solo bid hardens.

Mr Murdoch’s News UK and DMGT, which owns the Daily Mail, have discussed putting money into the bid, Bloomberg reported, in a move that would dilute UAE money in the takeover.

IMI, a state-owned Abu Dhabi fund, has provided 75pc of the £1.2bn used to buy The Telegraph and The Spectator

from the Barclay family. Redbird IMI, run by EX-CNN chief Jeff Zucker, has insisted that the UAE will have no input on operations and vowed to put in place protections for editorial independence.

However, the deal is currently in limbo after Lucy Frazer, the Culture Secretary, issued a Public Interest Intervention Notice preventing a merger until the Competition and Markets Authority and Ofcom had investigated.

Both Ofcom and the Competition and Markets Authority (CMA) yesterday delivered their reports into Redbird IMI’S proposed acquisition of The Telegraph. Ms Frazer must now decide whether to recommend an in-depth investigation, which could open the door to blocking the deal.

More than 100 MPS have written to the Prime Minister calling for the Government to block the takeover. Ministers are considering toughening up powers to intervene and block foreign ownership of UK newspapers. Shadow culture secretary Thangam Debbonaire has signalled that Labour will block the bid if it wins the next election.

The pressure has forced Redbird IMI to consider rethinking the structure of the deal. Separately, The Telegraph

reported last month that other interested parties were discussing a possible onward sale of the newspaper should Redbird IMI’S bid fail.

Sir Paul Marshall, the hedge fund backer of GB News, is also interested in buying The Telegraph and The Spectator

but is understood not to have been involved in talks about joining the Redbird IMI bid. He is understood to retain an interest in buying The Telegraph if the Redbird IMI bid ultimately fails.

Last night a source close to News UK denied that the publisher is in talks about investing in The Telegraph. Redbird IMI, News UK and a spokesman for Sir Paul declined to comment. DMGT was approached for comment.