David and Frederick Barclay, billionaire owners of the Daily Telegraph, have put in a £600m bid for London’s Grosvenor House Hotel.
The brothers, who own the Ritz, Spectator magazine and online retailer Shop Direct, are in talks with the hotel’s current owner Subrata Roy.
Roy, boss of the Sahara Group has owned the Grosvenor House since 2012. The Sahara Group has majority stakes in New York hotels Dream Downtown and Plaza.
In July last year, Associates Capital Management Ltd, an investment vehicle made of up of several wealthy UK families and two Middle Eastern partners submitted a £1.3bn bid for Grosvenor House and the two New York properties. This bid was hindered by the complexity of the financing of the hotels.
The Sunday Times reported that the deal may fail due to a “messy” sales process.