Fitch Places DMGT on Rating Watch Negative on Telegraph Acquisition Announcement

Fitch Ratings has placed DMGT's Long-Term IDR on Rating Watch Negative following its non-binding agreement to acquire Telegraph Media Group for GBP500 million. The acquisition is expected to be debt-funded, potentially leading to a rating downgrade. The transaction requires regulatory approvals and could take over six months to resolve. DMGT's strong market position is offset by its small scale and exposure to the UK economy. The acquisition aims to leverage TMG's digital model and improve media operating margins.