The former chancellor Nadhim Zahawi has approached a number of billionaire backers about financing a potential £600m bid for the Telegraph newspapers and Spectator magazine.

Zahawi, who decided not to stand again in his Stratford-on-Avon seat at the general election, was originally involved as a “middleman”, introducing a United Arab Emirates-backed consortium to the Barclay family, which enabled them to repay £1.16bn in loans and take back control of the debt-laden business from Lloyds Banking Group last year.

He was subsequently tipped to become the chair of the media group if RedBird IMI was able to complete a takeover.

However, RedBird IMI, which converted its loans to the Barclays into control of the Telegraph titles, put them back up for sale after the British government published legislation to block foreign states or associated individuals from owning newspaper assets in the UK.

Zahawi, who in May was named chair of the Barclay family-owned retailer Very Group, is reportedly in talks with International Media Investments (IMI) about a bid for the newspapers. IMI is an Abu Dhabi-based investment vehicle that holds a majority stake in RedBird IMI.

Among the potential backers Zahawi is said to have approached are the Reuben family, which owns a large property portfolio as well as a stake in Newcastle United Football Club, according to Sky News, which first reported the former cabinet minister’s potential takeover plans.

It is not clear whether Zahawi, who has not made a formal offer, is participating in the auction being run by RedBird IMI, which set a deadline of last Friday for the first round of bids for the titles.

Others in the frame include David Montgomery’s media group National World; Lord Saatchi, a former co-chair of the Conservative party and co-founder of the advertising group M&C Saatchi; and the Belgian media group Mediahuis.

CVC Capital Partners, the private equity group behind the Six Nations tournament and English Premiership Rugby, also reportedly considered making a bid.

Earlier this month, Lord Rothermere, the owner of the Daily Mail, pulled out of the auction owing to fears his newspaper group would be pulled into a long and complex battle to allow any takeover to overcome competition and political hurdles.

It emerged last week that Sir Paul Marshall, the libertarian backer of GB News and the UnHerd website, was also reconsidering his interest in submitting a standalone bid for the Telegraph.

Marshall could seek to join a broader consortium to take over the titles, or narrow his interest to an acquisition of the Spectator magazine.

In June it was revealed that the parent company, Telegraph Media Group, tumbled into the red last year after it set aside nearly £280m to cover loans made to the Barclay family that might not be repaid.

The group said that, despite a resilient financial performance, it had made losses of £244.6m in 2023 – against profits of £33.3m in the previous year – because of the provision.