LONDON: US investment group RedBird Capital Partners announced Friday it had abandoned its takeover of The Telegraph, reigniting uncertainty over the British newspaper's future.

RedBird said in a statement that it has "today withdrawn its bid for the Telegraph Media Group," which comprises the 170-year-old paper's print and online operations.

Redbird struck an "in-principle agreement" in May to purchase TMG for £500 million ($660 million).

The deal concluded a protracted sale lasting around two years, which involved an intervention by the previous Conservative government.

US-Emirati consortium RedBird IMI, joint venture between RedBird Capital and Abu Dhabi's International Media Investments, had already struck a deal for TMG in late 2023.

However, the previous UK government triggered a swift resale amid concern over the potential impact on freedom of speech given Abu Dhabi's press censorship record.

"We will work hard to help secure a solution which is in the best interests of employees and readers," RedBird Capital Partners said Friday.

THE TELEGRAPH

US firm drops takeover of UK's Telegraph newspaper