RedBird Capital Drops £500m Bid on Telegraph Amid Controversy Over Chinese Links
The highly anticipated takeover bid for the Telegraph Media Group by RedBird Capital, a private equity firm with ties to China, has hit roadblock. The company, founded by Gerry Cardinale, announced yesterday that it is withdrawing its £500m offer, leaving the future of the British daily and Sunday titles in limbo.
The move comes as pressure mounts on the government over potential Chinese influence in UK newspapers. A series of articles published by the Telegraph newsroom and allies, including former editor Charles Moore and Spectator chief Fraser Nelson, have called for an investigation into RedBird's links to China.
Culture Secretary Lisa Nandy had been set to announce a decision on whether to let the bid progress and also subject it to scrutiny by regulators. "RedBird has today withdrawn its bid for the Telegraph Media Group," said a spokesperson for the company, stating that they remain confident in the paper's future but will work hard to secure a solution in the best interests of employees and readers.
Daily Telegraph editor Chris Evans told staff that while there was no doubt that some staff had concerns about the bid, it was also clear that this process had gone on for far too long. "The Telegraph deserves owners who care about journalism and will invest," he said.
RedBird Capital's bid was structured at a value of £500m, with RedBird IMI – a joint venture between RedBird and International Media Investments (IMI) from the UAE – retaining a 15% stake. However, concerns over Chinese influence were raised when the Telegraph linked its new owner to a suspected spy ring in Westminster.
A photograph published by the Daily Telegraph last month showed John Thornton, chair of RedBird Capital Partners, shaking hands with Cai Qi, a senior member of China's Communist party. Cai has been described as the top lieutenant of Chinese President Xi Jinping and is accused of receiving intelligence about British politics.
Human rights groups have called for Nandy to halt the proposed takeover, citing concerns over RedBird's ties to China. "Throughout this process our priority has been to end the uncertainty and secure the Telegraph's long-term success," said an IMI spokesperson.
Anna Jones, chief executive of the Telegraph Media Group, expressed her gratitude to staff for their hard work during a challenging period. As the situation remains uncertain, it is clear that the future of British journalism hangs in the balance.
The highly anticipated takeover bid for the Telegraph Media Group by RedBird Capital, a private equity firm with ties to China, has hit roadblock. The company, founded by Gerry Cardinale, announced yesterday that it is withdrawing its £500m offer, leaving the future of the British daily and Sunday titles in limbo.
The move comes as pressure mounts on the government over potential Chinese influence in UK newspapers. A series of articles published by the Telegraph newsroom and allies, including former editor Charles Moore and Spectator chief Fraser Nelson, have called for an investigation into RedBird's links to China.
Culture Secretary Lisa Nandy had been set to announce a decision on whether to let the bid progress and also subject it to scrutiny by regulators. "RedBird has today withdrawn its bid for the Telegraph Media Group," said a spokesperson for the company, stating that they remain confident in the paper's future but will work hard to secure a solution in the best interests of employees and readers.
Daily Telegraph editor Chris Evans told staff that while there was no doubt that some staff had concerns about the bid, it was also clear that this process had gone on for far too long. "The Telegraph deserves owners who care about journalism and will invest," he said.
RedBird Capital's bid was structured at a value of £500m, with RedBird IMI – a joint venture between RedBird and International Media Investments (IMI) from the UAE – retaining a 15% stake. However, concerns over Chinese influence were raised when the Telegraph linked its new owner to a suspected spy ring in Westminster.
A photograph published by the Daily Telegraph last month showed John Thornton, chair of RedBird Capital Partners, shaking hands with Cai Qi, a senior member of China's Communist party. Cai has been described as the top lieutenant of Chinese President Xi Jinping and is accused of receiving intelligence about British politics.
Human rights groups have called for Nandy to halt the proposed takeover, citing concerns over RedBird's ties to China. "Throughout this process our priority has been to end the uncertainty and secure the Telegraph's long-term success," said an IMI spokesperson.
Anna Jones, chief executive of the Telegraph Media Group, expressed her gratitude to staff for their hard work during a challenging period. As the situation remains uncertain, it is clear that the future of British journalism hangs in the balance.
just got wind that RedBird Capital dropped out on buying the Telegraph, and I gotta say its like a weight's been lifted off our collective shoulders 
. I mean think about it – all those concerns over Chinese influence and spy rings... it was getting pretty sketchy 
. Now that the bid's off the table, we can finally breathe a sigh of relief 
. The Telegraph is a British institution, and we need people who care about journalism to keep it going 
. It's been such a tough time for journalists and readers alike, so fingers crossed they can get back on track soon 
.
so disappointing! I was really looking forward to seeing what would happen with RedBird's takeover bid on the Telegraph. But now, with all these Chinese links coming out, I'm not sure if anyone should be confident about it anymore 
. I mean, who wants their newspaper owned by a company that might have ties to China? It's like, how much influence do they want over our news and politics? 
. I don't think any of us want to see our politicians being spied on by a foreign entity. It's like, we need to trust that our news outlets are reporting truthfully and not being influenced by anyone else.
. But hopefully, whoever comes in next will prioritize journalism and not try to sneak in any dodgy Chinese connections 
. And what's up with the Telegraph linking John Thornton to this suspected spy ring? That's just not right. In my day, we didn't have to worry about foreign governments influencing our news outlets. It's like they're all in cahoots now... anyway, I'm glad Anna Jones is on top of things and trying to keep the Telegraph afloat. Let's hope this whole ordeal blows over soon 
I'm not surprised about this development, tbh. The whole thing just felt too shady from the start. Chinese links being involved with a suspected spy ring? 
It's like they're trying to infiltrate our media outlets. I'm glad the gov't is taking this seriously and putting pressure on Nandy to make a decision. We need to protect British journalism, it's what sets us apart from other countries. 
RedBird Capital should've thought of that before they made their bid. Now, it's back to square one. Let's hope they come up with a better plan next time around 
This whole thing just smells like a case of "we don't want to rock the boat" 
. yeah, china ties might raise some eyebrows, but it's not like we don't have foreign ownership here anyway 
.
. do we really wanna limit ourselves to only british investors? or should we be open to people from all over the world bringing new ideas and cash 
.
. I mean, £500m just dropped out of the blue, it's crazy! But can we really blame RedBird for wanting to be involved in the UK media scene? It's a big market, right? 
chinese links dont mean chinese control, china just invests like everyone else 
And what about all the journalists who are already worried sick about their jobs? You can't blame them - it's like the future of journalism is hanging by a thread... 
. If RedBird can't prove their commitment to journalism, then maybe they shouldn't own a major newspaper in the first place 
. The Telegraph has been serving the British public for centuries, and we deserve better than some shady investor with ties to China 
. What do you guys think? Should we be worried about our press being sold off to the highest bidder? #SaveOurPress #MediaFreedomMatters #UKJournalism
. I'd love to see Nandy really dig into the RedBird-IMI joint venture - is there more to that story than meets the eye? 
. But seriously, how much influence does a Chinese firm really want over our newspapers?