BUSINESSMAN DENIS O'Brien has added a reported three million shares to his stake in Independent Newspapers, valued at €1.65 million at yesterday's closing price.
Mr O'Brien has been building his stake in the group, led by his rival, Sir Anthony O'Reilly, since 2005, and now owns close to 26 per cent of the group, which publishes the Irish Independent and London Independent titles.
About six million shares in the group were traded yesterday. It is understood Mr O'Brien bought shares yesterday and over the three previous business days.
In total, over the four days, he bought three million shares. The stock closed 8.3 per cent down last night at 55 cent, valuing Mr O'Brien's latest purchase at €1.65 million.
It is estimated that he has spent €300 million building his holding in Independent News Media. His holding is worth about €116 million.
The latest purchase brings his stake in the company to 25.78 per cent, which edges him closer to the 29.9 per cent level at which he would be obliged under Stock Exchange rules to make a bid for the entire company.
The purchase also brings him closer to the 28 per cent held by Sir Anthony, the company's chief executive. Sir Anthony's holding is large enough to block a bid should Mr O'Brien decide to make one.
Mr O'Brien, who counts radio station Today FM among his Irish media assets, sparked speculation that he would ultimately bid for the Independent group as he built up his stake. However, he has never made his intentions known, and said in a recent interview that "not even my wife knows my intentions".
He has also been a vocal critic of how Sir Anthony manages the company. Last month, he pointed out that only about 4 per cent of Independent News Media's revenues come from the internet, including technology investments, while the equivalent figure for most newspaper groups in the US is 15 per cent of turnover.
Independent News Media is Ireland's biggest newspaper group. Along with the Independent titles, it owns the Evening Herald, a 50 per cent stake in the Irish Daily Star and a number of provincial titles.
The group has interests in Australia, New Zealand, South Africa and India. Other shareholders include US giant Clear Channel.
