The publisher of the Times Educational Supplement yesterday confirmed that the 91-year-old title and its sister publication the Times Literary Supplement could be sold by their owner, News International, in a deal worth up to £280m.
James MacManus, the chief executive of TSL Education, emailed staff to say that a number of approaches for the company had been received, following reports that News Corp's UK publishing arm was considering selling the TES and other specialist titles.
"I can confirm that News International has received expressions of interest about the future of this company. News International is exploring its options in this regard and I will keep you informed," Mr MacManus wrote.
Media analysts said the TSL Education group, which also includes the Times Higher Educational Supplement and Nursery World, was a "very attractive" proposition for buyers.
"It's an attractive entity and a nice size. You would be looking at interest from all the usual trade buyers and also at private equity companies," said Lorna Tilbian, a media analyst at Numis Securities.
She estimated TSL Education would be worth between £230m and £280m, based on £23m pre-tax profits and £56m in revenues last year. Ms Tilbian said it made sense for News International to sell the division to provide funds to reinvest in its core newspaper businesses.
"They got out of radio with the sale of their stake in Wireless Group and this looks like a tidying up exercise to reinvest the proceeds in their core businesses. It's so competitive in the market, you have to put your resources behind your main businesses."
News International last month sold its 38% stake in The Wireless Group, owner of TalkSport, to Ulster TV. News International said it had no comment to make on the sale of the specialist titles, which is thought to have been discussed by chairman Rupert Murdoch at a News Corp board meeting in London last month.
The TES is considered the UK's leading title in the education sector and its disposal would be the first newspaper sold by the company since Mr Murdoch's £12m acquisition of the Times in 1981. In 1989, it span off the supplements into a separate division called Times Supplements Limited, which later changed its name to TSL Education. Nursery World was added to the portfolio in 1998 and the division has since expanded into exhibitions.
The sale of TSL Education would allow News Corp to focus investment on its national newspapers, which include the Sun and News of the World as well as the Times and the Sunday Times.
Any cash from a sale would also help offset the £600m News International plans to invest in new printing plants. TSL Education increased pre-tax profits by almost 30% last year, with revenues up from £54.5m to £56.1m.
