British tycoons Mr David and Mr Frederick Barclay say they have withdrawn their offer to buy newspaper mogul Mr Conrad Black's holding company Hollinger.
The Barclays, owners of the Scotsmannewspaper, said today that in withdrawing their tender offer for Hollinger shares, they would also end an agreement to fund an offer by Hollinger to buy back debt.
A US judge last week blocked Mr Black from selling his majority Hollinger stake to the Barclays.
Hollinger holds a controlling voting stake in newspaper publisher Hollinger International, owner of the Telegraphnewspapers and the Chicago Sun-Times. Hollinger International has been locked in a bitter feud with Mr Black, its former chief executive, who it has accused of pocketing millions of dollars in improper payments.
Hollinger said yesterday it had missed an interest payment on $120 million of debt, though the company said it had 30 days before it was technically in default.
