Hollinger lines up $15m injection

Hollinger, Lord Black of Crossharbour's media group, is close to securing an emergency $15m (£9m) cash injection from Boston venture capitalists Bain Capital.

The money is needed to tide over Lord Black's empire, which includes the Telegraph Group and the Jerusalem Post, until he can complete a financial restructuring.

Lord Black promised a week ago that a deal would be announced soon. But he has already missed a previously announced deadline. In May he said he had struck an agreement with US fund manager Southeastern Asset Management to sell it up to 10 million shares in Hollinger International, the New York listed holding company.

This would reduce the controlling interest in Hollinger International which is held by Hollinger Inc, Lord Black's Toronto-listed vehicle. At the time he said the deal would be completed by 30 September.

It is believed Lord Black is not keen to complete the deal with Southeastern because of a rise in the price of Hollinger International shares. He has been speaking to other investors, including US venture capital firm Blackstone Group.

Neither Hollinger nor Bain would comment on the cash injection. But it comes at the end of a curious week for Hollinger Inc, which was forced to admit that Marie-Josee Kravis, wife of financier Henry Kravis, had resigned from the group's board.

Speculation that this meant Mr Kravis's KKR might invest in Hollinger Inc was rubbished by both sides.