Telegraph and Spectator auction starts to recoup Lloyds debt

Boards for the Telegraph newspaper group and Spectator magazine have kicked off a sale after bankers seized the conservative British media brands from the Barclay family.

Lloyds Banking Group Plc’s appointed receivers will start shopping the Telegraph Media Group Ltd. and the Spectator (1828) Ltd. to bidders, a representative for the independent directors said in a statement on Friday.

Lloyds seized the titles from the Barclay family in June to claw back £1 billion ($1.2 billion) of debts, removing Barclay family members from their director positions and placing the businesses in receivership. The Barclays — not related to the bank of the same name — bought the titles in 2004 for £665 million.

The politically influential titles have already attracted interest from media bidders. Will Lewis, a former Telegraph journalist and a Prime Ministerial adviser, said in September that he’d lined up funding for a takeover of his former employer. Middle Eastern investors have held talks with Daily Mail and General Trust Plc about supporting potential offers from the rival news publisher.

US billionaire and major Republican donor Ken Griffin along with hedge fund manager Paul Marshall have also discussed a potential bid for the Telegraph, people familiar with the matter said previously. News Corp. Chairman Rupert Murdoch bid for the Spectator as recently as two years ago, separate people have said.

Bloomberg