By Cyril Altmeyer
PARIS, June 20 (Reuters) - France Telecom's supervisory board has approved the firm's participation in a joint bid with two other investors for a stake in Le Monde, a source close to the matter said on Sunday.
One of France's most respected newspapers, Le Monde is losing money and looking for an infusion of capital. It has hired financial advisors to help it sell a majority stake, which could be worth up to 100 million euros ($123.8 million).
France Telecom, Spain's Prisa and Claude Perdriel, the owner of magazine Nouvel Observateur, make up one of two consortia preparing bids for a stake in Le Monde.
'France Telecom's supervisory board has approved the project put forward regarding Le Monde,' the source said.
Le Nouvel Observateur told Reuters on Friday that it planned to put in a bid on Monday for a stake in the French newspaper. France Telecom declined to comment.
France Telecom's unit Orange aimed to invest 50 million to 60 million euros in Le Monde, the firm's Chief Executive Stephane Richard told weekly newspaper Journal du Dimanche on Sunday.
France Telecom has said it would be willing to invest in the paper but was mainly interested in its online unit, Le Monde Interactive.
France Telecom, Perdriel and Prisa would aim to buy 34 percent of Le Monde Interactif from Lagardere and become its main shareholder, Richard added.
Richard has said that should his group's bid succeed, Le Monde's operations would be led jointly by Perdriel and Prisa. Orange would be mainly involved in developing Le Monde's interactive business rather than editorial content, he added.
Prisa had said it wanted to take part in Le Monde's recapitalisation, but asked for the summer to prepare. A Prisa spokesperson could not be reached for comment on Sunday.
PAPER POLITICS
The sale of Le Monde has become a political issue in France after President Nicolas Sarkozy called the daily's CEO, Eric Fottorino, into his office to discuss the newspaper's future.
French media reported that Sarkozy, who is on the right of French politics, was displeased by the prospect that a consortium of three bidders with contacts with the left could take over the daily.
Le Monde has also received a pre-offer from a trio made up of Lazard banker Matthieu Pigasse, Yves Saint Laurent Group partner Pierre Berge and telecoms tycoon Xavier Niel.
Both Niel and Pigasse are known to be close to Dominique Strauss-Kahn, the left-leaning head of the International Monetary Fund who is considered to be a possible candidate for the French president in 2012.
Le Monde has said it would set June 21 as the binding deadline for potential investors. Offers will be reviewed on June 25 at the General Assembly meeting and the group's supervisory board will meet on June 28 to choose a winner.
Lagardere, which owns a 17 percent stake in Le Monde, said on Thursday it could sell its stake in Le Monde to France Telecom, raising the possibility the French government could become an indirect owner of the paper.
France Telecom is 28 percent owned by the French state.
($1=.8076 Euro) (Additional reporting by Tracy Rucinski in Madrid; Writing by Sophie Taylor; Editing by Marguerita Choy) Keywords: FRANCETELECOM LEMONDE/ (sophie.taylor@thomsonreuters.com; +33 1 4949 5219; Reuters Messaging: sophie.taylor.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
PARIS, June 20 (Reuters) - France Telecom's supervisory board has approved the firm's participation in a joint bid with two other investors for a stake in Le Monde, a source close to the matter said on Sunday.
One of France's most respected newspapers, Le Monde is losing money and looking for an infusion of capital. It has hired financial advisors to help it sell a majority stake, which could be worth up to 100 million euros ($123.8 million).
France Telecom, Spain's Prisa and Claude Perdriel, the owner of magazine Nouvel Observateur, make up one of two consortia preparing bids for a stake in Le Monde.
'France Telecom's supervisory board has approved the project put forward regarding Le Monde,' the source said.
Le Nouvel Observateur told Reuters on Friday that it planned to put in a bid on Monday for a stake in the French newspaper. France Telecom declined to comment.
France Telecom's unit Orange aimed to invest 50 million to 60 million euros in Le Monde, the firm's Chief Executive Stephane Richard told weekly newspaper Journal du Dimanche on Sunday.
France Telecom has said it would be willing to invest in the paper but was mainly interested in its online unit, Le Monde Interactive.
France Telecom, Perdriel and Prisa would aim to buy 34 percent of Le Monde Interactif from Lagardere and become its main shareholder, Richard added.
Richard has said that should his group's bid succeed, Le Monde's operations would be led jointly by Perdriel and Prisa. Orange would be mainly involved in developing Le Monde's interactive business rather than editorial content, he added.
Prisa had said it wanted to take part in Le Monde's recapitalisation, but asked for the summer to prepare. A Prisa spokesperson could not be reached for comment on Sunday.
PAPER POLITICS
The sale of Le Monde has become a political issue in France after President Nicolas Sarkozy called the daily's CEO, Eric Fottorino, into his office to discuss the newspaper's future.
French media reported that Sarkozy, who is on the right of French politics, was displeased by the prospect that a consortium of three bidders with contacts with the left could take over the daily.
Le Monde has also received a pre-offer from a trio made up of Lazard banker Matthieu Pigasse, Yves Saint Laurent Group partner Pierre Berge and telecoms tycoon Xavier Niel.
Both Niel and Pigasse are known to be close to Dominique Strauss-Kahn, the left-leaning head of the International Monetary Fund who is considered to be a possible candidate for the French president in 2012.
Le Monde has said it would set June 21 as the binding deadline for potential investors. Offers will be reviewed on June 25 at the General Assembly meeting and the group's supervisory board will meet on June 28 to choose a winner.
Lagardere, which owns a 17 percent stake in Le Monde, said on Thursday it could sell its stake in Le Monde to France Telecom, raising the possibility the French government could become an indirect owner of the paper.
France Telecom is 28 percent owned by the French state.
($1=.8076 Euro) (Additional reporting by Tracy Rucinski in Madrid; Writing by Sophie Taylor; Editing by Marguerita Choy) Keywords: FRANCETELECOM LEMONDE/ (sophie.taylor@thomsonreuters.com; +33 1 4949 5219; Reuters Messaging: sophie.taylor.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.