Snappy newsletters. Simple Facebook sharing. Spirited comments. Sweet features are waiting… GET THEM NOW!

Does Carlos Slim Want to Buy the Times?

As dividends dwindle, Mexican billionaire may move in on paper

By Jason Farago,  Newser Staff

Posted Jan 26, 2009 7:28 AM CST
Email

(Newser) – Last week Carlos Slim, the world's second-richest man, lent $250 million to the New York Times Company—but why does he want 18% of a tanking media outfit? Advertising Age speculates that the Mexican tycoon is playing a long game: The loan is peanuts to Slim, but it puts him in position to buy the paper if the Sulzberger family decides to sell. "As far as future control, it's unpredictable," said one analyst.

While the Sulzbergers strenuously deny they would ever sell the Times, they may have little choice if the dividends that provide their main income continue to shrink. Some in Mexico are skeptical that Slim, who has never owned a news property, would have any interest in owning the paper, and Slim's spokesman insists the loan is merely an investment. Nonetheless, he is now without rival as the most likely buyer if the Times ever comes on the block, says Ad Age.

Mexican billionaire Carlos Slim attends a meeting with Brazil's President Luiz Inacio Lula da Silva at the Presidential Palace in Brasilia, Wednesday, Oct. 24, 2007.
Mexican billionaire Carlos Slim attends a meeting with Brazil's President Luiz Inacio Lula da Silva at the Presidential Palace in Brasilia, Wednesday, Oct. 24, 2007.   (AP Photo/Eraldo Peres)
Carlos Slim's loan to the New York Times Company will leave him with an 18% stake in the corporation, but no voting shares.
Carlos Slim's loan to the New York Times Company will leave him with an 18% stake in the corporation, but no voting shares.   (©Tom Chambers)
Carlos Slim's loan to the New York Times Company will leave him with an 18% stake in the corporation, but no voting shares.
Carlos Slim's loan to the New York Times Company will leave him with an 18% stake in the corporation, but no voting shares.   (©eflon)
Mexican tycoon Carlos Slim looks to expand his empire in the United States in a deal that could make him the largest shareholder of The New York Times Co.
Mexican tycoon Carlos Slim looks to expand his empire in the United States in a deal that could make him the largest shareholder of The New York Times Co.   (AP Photo/Mark Lennihan, file)
Mexican billionaire Carlos Slim arrives for a news conference in Mexico City, Monday, Sept. 29, 2008.
Mexican billionaire Carlos Slim arrives for a news conference in Mexico City, Monday, Sept. 29, 2008.   (AP Photo/Gregory Bull)
« Prev« Prev | Next »Next » Slideshow
To report an error on this story, notify our editors.
A snapshot of the day's best news stories.
 
COMMENTS
Be the first to comment on this story.

The $60 billion man makes his move
Forbes

Can the loan save the Grey Lady?
Observer

Money • Media • World

 
newspaper • New York Times • Carlos Slim • American media • New York Times Company • newspaper industry

More Newser Stories

Investors Snapping Up Daily Papers

Warren Buffett Buys Hometown Newspaper

New York Times Asks Twitter to Plug Paywall Loophole

NY Times Paywall Starts This Month

Fox Is Turning Us Into Cynical Malcontents: NYT Editor
NEWS FROM OUR PARTNERS
Other Sites We Like:   24/7 Wall St.   |   Betty Confidential   |   BuzzFeed   |   Cracked   |   Fark   |   Timelines   |   The Frisky   |   Geek Sugar   |   NewsOne