A bipartisan group of MPs and peers have called for an investigation into the funding of RedBird Capital's £500m takeover of the Telegraph. The group expressed concerns about potential Chinese state influence in the private equity firm.

In a letter to the culture secretary, Lisa Nandy, the MPs highlighted the firm's chair, John Thornton's connections to China's sovereign wealth fund and the Chinese Communist party. RedBird Capital recently announced the acquisition of the Daily and Sunday Telegraph, prompting questions about the transparency of the funding sources.

The letter, signed by MPs from different parties, emphasized the need for a transparent investigation into the acquisition and its national security implications. While the deal is yet to receive regulatory approval, concerns have been raised about the involvement of foreign state actors in funding the acquisition.

RedBird Capital, which will become the sole controlling owner of the Telegraph titles, has stated that there are no Chinese state funds involved in the deal. The acquisition is fully funded, with RedBird Capital contributing a quarter of the funding.

Previously, RedBird IMI had taken control of the newspapers in 2023, with funding from International Media Investments (IMI), owned by Sheikh Mansour bin Zayed Al Nahyan. The consortium's links to Abu Dhabi led to a campaign against the takeover, resulting in the UK government introducing legislation to block foreign states from owning British newspaper assets.

Under the proposed legislation, foreign states would be allowed to own stakes of up to 15% in British newspapers. If the acquisition by RedBird Capital goes through, IMI's stake would be reduced to comply with the new regulations.

The MPs and peers are calling for transparency in the approval process, urging that investors in RedBird Capital be disclosed before final approval is granted. The Department for Culture, Media and Sport (DCMS) has been approached for comment on the matter.