Barclays Not Expected To Shake-Up Telegraph Group
Aidan Barclay, son of Sir David, looks set to become chairman of the Telegraph Group following the completion of the £665 million deal to take control of the UK’s best selling broadsheet newspaper.
The role of chairman has been vacant since Lord Black was removed from the post earlier this year by disgruntled shareholders. Jeremy Deedes is also expected to step down as chief executive after coming out of retirement to oversee the sale of the Telegraph titles (see Deedes Returns To Telegraph Group To Oversee Sale).
The billionaire Barclay brothers will take control of the newspaper group when the deal is finalised at the end of next month. However, senior executives at the Telegraph do not expect its change of ownership to cause any more turmoil at the company.
Jeremy Deedes said: “I told the staff that this was good news for the future of the papers and the result that I had very much hoped for. We have got a new owner that thinks long term, that invests, that cherishes and exactly fits with what the Telegraph needed.”
It had been expected that Daily Telegraph editor, Martin Newland, who was appointed by Lord Black last year, would be the first casualty of the acquisition. However, it now looks as though his position is safe for the time being.
Hugo Drayton, managing director of the Telegraph group, said: “The Barclays are extremely impressed with Martin and they are certainly not about to make any changes. Martin is the right guy at the right time. He is an advocate of the changes that are needed to make it a more modern newspaper.”
The Barclay brothers, who also own the Business and the Scotsman, secured the Daily Telegraph and its sister titles after seeing off a rival bid from venture capital firm 3i and its US partner Veronis Suhler Stevenson in the final round of bidding.
It is understood that a last minute £40 million increase in their offer secured the broadsheet for the reclusive media moguls, who have been wrangling for control of Hollinger’s newspaper assets for more than six months (see Barclay Brothers Agree Telegraph Takeover Deal).
However, disgraced newspaper tycoon, Lord Conrad Black, is attempting to derail the deal by asking a US judge to order a shareholder vote, which would effectively give him power of veto over the £665 million transaction.
Telegraph Group: 020 7538 5000 www.telegraph.co.uk
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