Approval for sale of Observer newspaper to Tortoise Media

A deal to sell the Observer – the Sunday newspaper founded in 1791 – to Tortoise Media has been approved, the owner of the Guardian has confirmed.

It was announced on Friday morning after a meeting of the boards of the companies that own it – Scott Trust and Guardian Media Group.

The move follows a 48-hour strike this week by journalists at the newspaper and sister publication The Guardian.

tortoise mediaLaunched five years ago, it has its own website and podcast and focuses on long-term journalism rather than breaking news.

It is run by James Harding, a former BBC and The Times executive, and Matthew Barzun, a former US ambassador to the UK.

The company has several high-profile backersIncluding tech investor Saul Klein and Nando’s executive Leslie Pearlman, and pledging to invest £25 million in the paper.

Speaking after the sale was announced, Harding said he was “honored and excited by the prospect of working together to renew the Observer”.

He said he promised his readers, “We will do everything we can to preserve its history as a defender of human dignity and to give it new life as a powerful, progressive voice in the world.”

Guardian and Observer journalists go on strike on Wednesday and Thursday, worrying about what would happen to the newspaper in the hands of the new owner.

Laura Davison, general secretary-elect of the National Union of Journalists, said the 233-year-old newspaper “holds a unique and important place in public life and our members care about the next chapter of its history”.

Catherine Viner, editor-in-chief of Guardian news and media, said: “I recognize how volatile this period has been for the Observer staff, but we are confident that we are moving forward in the best possible way for the title’s journalists, its readers and The future of both the supervisor and the mentor are agreed upon.

“This is a model that will see investment in journalism and journalists, embed the values ​​of the Scott Trust in the future of the Observer, and protect the ability of the Observer and Guardian to continue producing trustworthy, liberal journalism.”

Guardian Media Group has owned the Observer since 1993, with around 70 people working at the newspaper.

Employees had already been told that if the sale went ahead, they could take voluntary redundancy on enhanced terms or transfer to Tortoise on their existing contracts.

Freelancers were also told that their contracts would be extended until September 2025, and would then be renegotiated.

Its circulation was falling steadily until 2021, when it stopped publishing audited figures. At that time it was selling about 136,000 copies per week.

Anna Bateson, chief executive of Guardian Media Group, said: “This investment will preserve the Observer’s 233-year heritage and safeguard the newspaper’s future, ensuring it continues to produce exceptionally liberal journalism online and in print for years to come.” Underlining this, everyone will remain committed to promoting a free press and maintaining editorial independence.

“The deal also supports the long-term success of the Guardian, driving our growth globally and in the digital arena, as we continue to put readers at the heart of our excellent journalism.”