Black sues in bid to stop Telegraph deal

Conrad Black is suing to stop the sell-off of the Daily Telegraph group of newspaper for £665m (€994m) to the Barclay brothers.

His Canadian company Hollinger has asked a US court to demand its subsidiary Hollinger International seek shareholder approval before selling the group.

The prospect of a legal challenge in Delaware Chancery Court over the proposed sale has been looming since the sale was announced on June 22.

Hollinger said shareholder approval was required since selling the Telegraph Group allegedly constitutes a sale of a “substantial majority” of Hollinger International’s assets.

Conrad Black was removed as chief executive of Hollinger International over disputed payments in November.

Hollinger International, a global newspaper publisher based in Chicago, continues to insist that it does not need shareholder approval to sell the British assets to tycoons Frederick and David Barclay.

The Telegraph Group includes The Daily Telegraph, The Sunday Telegraph and The Spectator.