Independent News and Media has sold its British titles to Russian billionaire Alexander Lebedev for £1 sterling.
Under the deal, the London Independent and the Independent on Sunday will be sold to Independent Print Limited, a company controlled by Mr Lebedev's family. The deal also includes the related website.
As part of the terms of the deal, INM will pay Independent Print Limited £9.25m over the next ten months for use within the titles, in exchange for the Lebedev company assuming all future trading liabilities.
Staff at the two papers will transfer to IPL, who will continue to operate from the current premises in Kensington, London.
As a result of the disposal, the chief executive of Independent News & Media UK, Ivan Fallon, has retired from the group.
'This is a most satisfactory and positive outcome for the titles, their staff and for INM's shareholders,' commented group CEO Gavin O'Reilly.
He added that the deal will be immediately earnings accretive for INM and allows the company to focus on its cash generative assets in Ireland, Northern Ireland, South Africa, Australia and New Zealand.
The deal is expected to be completed by May.
Last year Lebedev - a former KGB agent - acquired a majority stake in the London Evening Standard newspaper from former owner Daily Mail & General Trust, turning it into a free paper and doubling its circulation.
