A buyer for the Telegraph could be agreed as early as this week, after the owner of the New York Sun emerged as the potential frontrunner in the bidding war over the publication.
Dovid Efune is said to be in advanced talks to buy the newspaper group, although discussions over the sale remain ongoing.
The British-born businessman had tabled a competitive bid understood to be worth about £550 million.
Mr Efune owns the New York Sun, a conservative-leaning title, and is also the chairman and former editor of Jewish publication the Algemeiner Journal.
He has the financial banking of a number of US investors and funds, and has offered more money than other bidders involved in the sales process, reports say.
Remarks posted on social media site X over the Israel-Gaza conflict and Mr Efune’s pro-Israel stance have come under scrutiny, while the UK regulators will likely be looking at any potential impact of a takeover on the newspaper’s editorial independence.
Mr Efune has not commented publicly on his involvement in the auction process or his reasons for tabling a bid.
But the media mogul recently wrote in an opinion piece for the New York Sun: “The Telegraph in Britain, a fine newspaper, is now at risk of being swallowed up by the United Arab Emirates.”
He also stressed the need for newspapers to serve its readers “above all”.
A sale would take the Telegraph out of the hands of Abu Dhabi-backed media investor RedBird IMI.
RedBird IMI took control of the media business when it was put on the market last year in order to help previous owners, the Barclay family, repay heavy debts to lenders at bank Lloyds.
It is an investment fund majority-owned by Sheikh Mansour bin Zayed Al Nahyan, vice president of the United Arab Emirates (UAE) and owner of Manchester City Football Club.
The deal drew fierce criticism over free speech concerns before it was ultimately blocked by the Government earlier this year.
As a result, RedBird IMI launched a fresh sale process to sell it on to a new buyer.
Sir Paul Marshall, whose business OQS Ventures recently struck a deal to buy The Spectator, was believed to be among the interested parties to buy the Telegraph.
The hedge fund boss paid £100 million for the political publication which he said he was a “long-term reader” of.
Yorkshire Post owner National World was also understood to be in the process to strike a takeover deal.
Potential suitors to buy the Telegraph Media Group had until the end of September to submit second-round offers.
RedBird IMI declined to comment on the reports.
