Guardian Media Group in Talks to Sell Observer

Guardian Media Group (GMG) is in negotiations to sell The Observer, the world's oldest Sunday newspaper, to Tortoise Media, which has proposed an investment of £25 million over five years to revitalize the publication. GMG reported a significant financial downturn, with sales falling 2.5% to £257.8 million and an adjusted operating loss increasing from £18.8 million to £35.9 million due to a challenging advertising market. Despite these losses, the Guardian intends to maintain a seven-day-a-week digital operation regardless of the sale's outcome. Tortoise Media, founded by former BBC News director James Harding, aims to combine its expertise in digital media with The Observer's legacy of journalism. The discussions have been approved by the Scott Trust, which oversees GMG, as the company seeks to secure its financial future amid increased cash outflows and investments in its US expansion. The potential sale highlights the ongoing evolution of media ownership and the challenges faced by traditional newspaper entities.