The Bad PlaceThe Guardian | Revealed: Axel Springer skipped due diligence before £575m Telegraph takeover by Mark Sweney
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Axel Springer sealed a £575 million takeover of the Telegraph Media Group without the usual due‑diligence checks, a move that could make it hard to recover the price as the titles move from a print‑heavy model toward cheaper, heavily discounted digital subscriptions. The Telegraph still depends on print, with print sales, subscriptions and advertising accounting for 61 % of its £255.3 million 2024 revenue, but all three streams fell between 2023 and 2024 and high‑value print subscribers are rapidly disappearing. Digital subscribers rose 5 % to 1.09 million (78 % of which are digital) and digital revenue grew 18 % to £81 million, yet a large share of the subscriber base is low‑value or free‑trial users, and aggressive discounting has suppressed average subscription prices. Despite the market challenges, adjusted profits held at £60.7 million and total revenue edged up 1.2 % to £279 million, while Axel Springer’s CEO Mathias Döpfner, who has long coveted a flagship UK media asset, views the purchase as a long‑term, “digital‑first” investment.
Read more: https://www.theguardian.com/media/2026/apr/24/axel-springer-skipped-due-diligence-telegraph-takeover
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