Mirror Group reopens talks

By DAILY MAIL REPORTER
Updated:

 

Mirror Group has reopened talks with potential buyers Regional Independent Media and Trinity Holdings prior to Trade Secretary Stephen Byers' verdict on their bids.

Advisers for the Daily Mirror's publisher have had informal contacts in recent weeks with counterparts in the other two camps as the wait drags on. The verdict was expected almost two weeks ago.

Former Mirror chief executive David Montgomery has confirmed he is in discussions with financial institutions which may or may not lead to him making a takeover offer for the newspaper company, but financiers think bidders with publishing operations could achieve more savings. Regional newspaper group Trinity is considered front-runner. Its rising shares - up from 397p since January to 577p - value it at £805m, against Mirror's £1.1bn.

However, Mirror's ability to remain independent has strengthened since takeover talks began in January. The economy's rebound and some disposals have lifted the shares from 150p to 246 1/2p, 15-times likely earnings and nearly a five-year high.

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