By: (AP) London-based Express Newspapers confirmed Wednesday that it has made a bid to acquire The Telegraph Group and its two British newspapers, now owned by Hollinger International.
Press Holdings Ltd., owned by Britain's Barclay brothers, has already agreed to a takeover of the Telegraph Group's ultimate owner, Toronto-based Hollinger Inc. with ousted chief executive Conrad Black. The board of Hollinger's operating firm, Hollinger International, is challenging the takeover.
Telegraph Group publishes The Daily Telegraph, The Sunday Telegraph and The Spectator magazine.
Hollinger Inc. holds 73% voting control in Hollinger International, which also owns the Chicago Sun-Times, the Jerusalem Post and other publications.
Express Newspapers, headed by Richard Desmond, publishes two middle market tabloids, the Daily Express and the Sunday Express, and their raunchy, fast-growing stable mate, the Daily Star.
A spokeswoman for the group confirmed a Financial Times report Wednesday that Express Newspapers had made a bid for the Telegraph Group. She would not confirm any of the details reported in the FT, which said the bid was thought to be worth 450 million and 500 million pounds ($824 million and $915 million).
The Financial Times also reported that Express Newspapers is trying to gain full ownership of the West Ferry printing plant in London, jointly owned by Express Newspapers and The Telegraph Group. The plant also publishes the Financial Times and the Guardian.
The Express spokeswoman would not confirm that report and said only that it was something Express Newspapers was considering.
The FT said Desmond had already written to Telegraph Group directors claiming that the Barclay brothers' bid has triggered change-of-control clauses in the joint venture agreement that would allow him to acquire West Ferry.
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