UK government suspends Jeff Zucker Telegraph agreement to conduct investigation
The UK government is blocking Jeff Zucker’s Abu-Dhabi-backed RedBird IMI from buying the Telegraph newspaper and Spectator magazine, citing concerns about the outlets retaining their editorial independence once the group takes over.
According to Mediaitaculture secretary Lucy Frazer issued a public interest “intervention notice” on Thursday night, prompting media regulator Ofcom to investigate the proposed deal’s “potential breach of media standards”.
About two weeks ago, former CNN boss Zucker, who is the CEO of investment group RedBird IMI, proposed a deal to pay around $750 million to the Barclay family (owner of the Telegraph newspaper and Spectator magazine ) that would allow them to pay their debts. debt of almost $1.4 billion with Lloyds Banking Group.
The Barclay family would transfer ownership to RedBird IMI, a joint venture between RedBird Capital and International Media Investments (IMI) of Abu Dhabi, funded primarily by Sheikh Mansour bin Zayed Al Nahyan, vice president of the United Arab Emirates.
The involvement of UAE leaders has raised concerns in the UK about the editorial independence of the publications should the deal go ahead.
Last week, Zucker went on a public relations tour and told The Financial Times that he would create an editorial advisory board to defend the independence of The Telegraph and The Spectator and provide assurances.
The former CNN boss also lashed out at rival bidders for a “mud-slinging” conservative British publication.
Earlier this week, the executive also told The Telegraph’s business editor Christopher Williams that he would “resign” if anyone came to him with any suggestion of pressure on the editorial team from the United Arab Emirates.
Ofcom’s investigation “will focus on ensuring the accurate presentation of news, the free expression of opinions and a sufficient plurality of opinions,” Mediaite said.
Frazer told the outlet that there is a “need for a fair, transparent and impartial process.” The investigations, which will conclude on January 26, 2024, will also involve the Competition and Markets Authority (CMA) examining competition issues.
Friday night, The guardian reported that the Barclay family is expected to temporarily regain control of The Telegraph and Spectator, but that an independent board will remain in editorial and operational control under the government-ordered investigation by Ofcom.
