Morgan and Freud are understood to have reached agreement to take over the newspaper and magazine trade title Press Gazette late last week, with the deal set to be concluded this week.
A number of magazine publishers dropped out of the race to buy Press Gazette early on, after concerns about its financial footing.
Freud, who is a friend of Morgan's, will control the majority stake in the new venture and is expected to take a back seat in the running of the title, which will be left to Morgan.
"We have agreed a deal in principle and we hope to complete in the middle of next week," Morgan told The Times.
Morgan will not edit the title but will instead act as proprietor, although it is too early to tell if current editor Ian Reeves will find himself replaced and a new editor installed.
The magazine will move out of its Croydon home and be relocated in central London as Freud and Morgan become the sixth owners of the title in 15 years.
Morgan has said little else about his plans for the title, except that he wants to see it taken seriously by Fleet Street.
There is speculation that the title will be completely redesigned and its focus changed moving away from coverage of business magazines and regional newspapers to focus on national newspapers and television instead.
It is here the title makes its money, via the troubled British Press Awards, which are known for catcalling and punch-ups. Two years ago, they were marred by a fight between Morgan and motoring journalist Jeremy Clarkson.
However, the fear is that such a change in tone will leave the UK's 13,000 journalists working in regional newspapers without a title of their own.
Morgan was sacked as Daily Mirror editor a year ago following proof that pictures he had been responsible for running, of British troops abusing Iraqi prisoners, were fake. He has since concentrated on television appearances and writing his autobiography 'The Insider', published last year.
Once Press Gazette is sold off, Quantum will have disposed of all of its main trade titles as the company's private equity owner ABN Amro Capital realises the value of its investment.
The company has already sold off Media Week to Haymarket while United Business Media bought The Publican.
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