Barclay family reclaims Telegraph after paying off Lloyds debt
The Barclay family has reclaimed control of The Telegraph following a repayment of £1.16bn in debts owed to Lloyds bank.
The lender confirmed on Monday that repayment has been completed, meaning both The Telegraph and The Spectator magazine are no longer in receivership, which they were placed into in June.
It marks the end of Lloyds’ involvement in the sale.
Lloyds said: “We are always keen to work constructively with customers who get into difficulty with their repayments to reach an amicable solution. We’d like to thank all parties for their role in reaching this point.”
The Barclays have been trying to buy back their right-leaning publications with help from a member of Abu Dhabi’s royal family after they were put up for sale in June due to unpaid debts.
The recoup was made possible through a £1.2bn loan from Redbird IMI, an Abu Dhabi-backed fund.
But, for now, independent directors will oversee both The Telegraph and The Spectator amid a public interest investigation, triggered by media secretary Lucy Frazer last week.
Ofcom and the Competition and Markets Authority (CMA) must report back to Frazer by 26 January 2024 although the ultimate decision on whether the sale of the British paper to a foreign owner can proceed lies in Frazer’s hands.
A spokesman for the Barclay family told the Telegraph: “We are pleased to have reached this positive resolution and are grateful to Lloyds Banking Group for their constructive engagement over recent months.”
City PM approached Redbird IMI for comment.