Independent News and Media has refused to comment on media speculation that its executive chairman Tony O'Reilly is planning a takeover bid for Australian newspaper group Fairfax Holdings.
According to a report in the Sunday Times, O'Reilly wants to use his Australian regional newspaper company as a takeover vehicle in a deal that could be worth £800 million.
The report said that Fairfax, which owns the Sydney Morning Herald, has long been a target for O'Reilly. The company has become vulnerable to a bid after Australian tycoon Kerry Packer sold his stake earlier this month.
O'Reilly tried to gain control of Fairfax in 1991, but lost out to a rival bid from a consortium led by Conrad Black, the Canadian owner of the Daily and Sunday Telegraph titles in the UK. Australian media ownership regulations have since led Black to sell his holding in the company.
O'Reilly's Valentia consortium is currently involved in the Eircom takeover battle.
