One of the advertising gurus who helped bring Margaret Thatcher to power is considering forming a consortium to bid for The Daily Telegraph.
Sky News has learned that Lord Saatchi, the Conservative peer, has been discussing the option of launching a bid for right-wing newspapers before the deadline at the end of this month.
Lord Saatchi is said to have been discussing the possibility of putting together a bid with Lady Lynn Forester de Rothschild, former director of The Economist Group.
City sources said they had approached several potential financiers in recent weeks, although none could be reached for comment, and people close to the process warned that it was far from certain they would ultimately participate in a bid.
One source suggested they were working with investment bankers on a bid, although the identity of any financial investors was also unclear.
Lord Saatchi was one half of the advertising duo that created Saatchi & Saatchi and, later, M&C Saatchi.
His agencies’ work for the Conservative Party was hailed as an important factor in the Conservatives’ electoral success in the late 1970s and 1980s, although he is no longer actively involved in the business that still bears his name.
Sky News revealed late last month that potential bidders for The Telegraph and The Spectator have been told to submit indicative bids by July 19 if they want to take control of the media titles.
The auction of the titles of The Telegraph and The Spectator magazine was launched by RedBird IMI, the Abu Dhabi state-backed vehicle that struck a deal earlier this year to take control of the assets.
Their ambitions were thwarted, however, by government intervention amid a backlash over the prospect of a foreign state actually owning prominent national newspapers.
The Labor Party’s position on the process is not yet clear.
Bidders are expected to include Sir Paul Marshall, the hedge fund tycoon, and Lord Rothermere, the owner of the Daily Mail.
David Montgomery’s National World is also likely to be among the suitors, while US-based RedBird could also bid alongside other investors.
The fate of The Telegraph, historically a staunch supporter of the Conservative Party, has been up in the air for a year after Lloyds Banking Group took control of its parent companies after Barclays fell behind on debt payments.
The family had owned the Telegraph for almost 20 years, but saw several of its assets face financial problems.
Barclays continues to control Very Group, the online retailer.
The Raine Group, best known in Britain for its role in recent deals involving football clubs Manchester United and Chelsea, and Robey Warshaw are advising on the auction of the media assets.
Questions remain over whether RedBird IMI can hope to recoup the £600 million it paid to acquire the call option that would have been converted into Telegraph ownership.
The newspapers and The Spectator can still be sold separately, and Rupert Murdoch will remain among those interested in buying the political magazine.
RedBird IMI declined to comment Saturday about interested parties.
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