Private equity firms were alerted to a change in strategy last week as Trinity Mirror chief executive, Sly Bailey, admitted the group was reviewing its business, sparking speculation that the company could be sold and broken up.
Private equity firms are thought to be particularly interested in acquiring Trinity Mirror's regional newspaper business, which is more profitable than the national business, and includes such titles as the Liverpool Post & Echo and the Birmingham Mail.
As well as Candover, which bought and sold magazine firm IPC Media, other private firms are also showing interest. These include Kohlberg Kravis Roberts and Cinven. However, Candover has some strong cards in its favour.
It recently hired Trinity Mirror's director of strategic development, Humphrey Cobbold, and former Regional Independent Media director Chris Oakley has also been hired.
A private equity firm is seen as the likeliest of buyers since competition rules are sure to bar bids from existing newspaper publishers, including big regional newspaper groups Johnston Press and Gannett.
Trinity Mirror has hired investment bank NM Rothschild to help review its business as the publisher struggles in the face of an advertising downturn and a poor set of results which saw profits and revenues down.
The review has been kicked into action because of the interest from private equity firms looking for more data on Trinity Mirror's regional newspaper business, which also includes regional dailies the Western Mail in Wales and the Newcastle Journal.
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