Analysts at Liberum Capital said: ‘Trinity has confirmed press speculation it is in talks to buy regional newspaper group Local World, in which it owns a 20 per cent stake.
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In a press release this morning, each events stated there was no certainty that an settlement might be reached.
Print revenues at Native World fell 8pc to £131.5m final yr however adjusted income have been up 12laptop to £43.6m off the again of elevated income from the group’s web sites, up 21laptop to £24.6m.
Earlier this year Trinity Mirror was reported to be weighing up a possible deal to buy newspapers from Richard Desmond, the owner of the Daily Express and Northern and Shell. Shares in the media group rose almost 7pc on Monday morning. Control of Local World would enable it to add Bristol, Nottingham, Leicester, Hull, Plymouth, Stoke, Derby and Swansea to that list.
The publisher of the Daily Mirror owns some of the best-known local newspapers in the country including the Liverpool Echo and the Manchester Evening News.
Trinity Mirror now holds a 20pc stake in Local World.
At the time, both companies declined to comment on the rumours, and it was later reported that the talks had foundered amid opposition from Yattendon boss Lord Iliffe.
It’s understood that the household has opposed the deal and should retain a few of these titles ought to the takeover go forward. Hedge fund giant Crispin Odey and Tory grandee Lord Michael Ashcroft also have stakes.
David Montgomery, chief executive of Local World and former boss of the Mirror Group, could pocket as much as £10m from the takeover, which could be blocked by regulators.
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It will cement the position of Trinity Mirror – owner of the Daily Mirror and Sunday Mirror – as Britain’s biggest local and regional news company, and could spur further consolidation in the sector.
