Top UK Newspaper Group Under Sale Spotlight

27 January 2006

Just days after the the chairman of the UK's largest newspaper group, Trinity Mirror, announced he would quit the company in May, [WAMN: 24-Jan-06] TM shares have risen on speculation that parts of it could now be sold.

Trinity investor Tweedy Browne of New York (best known as Lord Conrad Black's Nemesis), which has been urging the company to dispose of its national tabloid, the Daily Mirror, has increased its stake from 4.71% to 5.06%.

Departing chairman Sir Victor Blank is fiercely opposed to any breakup of the company, which publishes around 250 national and regional titles.

Among those now named by the bookies as potential purchasers of the Mirror and its national stablemates are German publisher Axel Springer and private equity group Candover Investments.

However, Trinity is zip-lipped about any approaches, while Tweedy says more stock was bought because "it's cheap stock. We're long-term investors".

Data sourced from BrandRepublic (UK); additional content by WARC staff