MercoPress. South Atlantic News Agency

Former KGB agent buys The Independent and Independent on Sunday for £ 1

Alexander Lebedev and son Evgeny have promised to inject “new energy and impetus” to the icon newspapers

Former KGB agent and London’s Evening Standard owner Alexander Lebedev is buying The Independent and Independent on Sunday for £1, it has been confirmed. The Russian oligarch has snapped up the titles for the same price as a single copy of The Independent.

As part of the deal owners Independent News & Media (INM) will pay Mr Lebedev £9.25m over 10 months to take on the future liabilities of the loss-making newspapers.

Mr Lebedev said his son, Evgeny, would become chairman of the company set up for the takeover, Independent Print Limited, which will acquire all rights to the two papers and their website.

The Lebedevs have pledged to “inject new energy and impetus” into the Independent titles, adding they had made a commitment to invest in them. The newspapers will continue to be based at their Kensington offices, which they share with the London Evening Standard, and existing staff are set to transfer over after the takeover.

Mr Lebedev last year bought a 75% shareholding in the Standard, which subsequently went free. He says circulation has risen from 250,000 to 600,000. He said: “I am a supporter of in-depth investigative reporting and campaigns which promote transparency and seek to fight international corruption.

”These are things The Independent has always done well and will, I hope, continue to do.“

INM's group CEO Gavin O'Reilly said: ”This is a most satisfactory and positive outcome for the titles, their staff and for INM's shareholders.

“After our successful refinancing in late 2009, this transaction marks an important milestone in the repositioning of our group and will allow INM to focus solely on its market-leading, cash-generative assets in Ireland, Northern Ireland, South Africa, Australia and New Zealand.”
Completion of the sale, which comes after months of negotiations, is expected to take place in May after consultation with employees and regulatory approval.

Mr Lebedev made his fortune with the airline Aeroflot and through stakes in banking and insurance companies. He also co-owns, with former Soviet President Mikhail Gorbachev, Russian newspaper Novaya Gazeta.