Daily Sport co-founder David Sullivan looked set today to net £40 million after agreeing to the sale of the newspaper group.
Sport Newspapers, which also produces the Sunday Sport and is 50 per cent owned by Mr Sullivan, has agreed to a takeover deal worth around £50 million with Interactive World.
The reverse takeover deal with Interactive, which supplies adult content to mobile phone users through the internet, will see Sport Newspapers become a public company via a listing on the Alternative Investment Market.
The two companies already have close ties as Sullivan owns a 49.95 per cent stake in Interactive, although he has agreed to offload his interest in Interactive for £14.5 million as part of the deal.
The flagship Sunday Sport title has beeen losing circulation fast in recent years. In June it fell 22 per cent to 124,628.