Terry Smith, the outspoken chief of UK brokerage Collins Stewart, wants to organise a buyout of Pearson Plc's flagship Financial Times (FT) - the same newspaper he is currently suing for libel.
"If it came up for sale, or there are enough shareholders pushing for a sale, he would be keen to organise a buyout," a spokesman for Collins Stewart said yesterday.
Pearson chief executive Marjorie Scardino has faced persistent pressure to justify the company's ownership of the FT.
Martin Cobb, UK portfolio manager for Franklin Templeton, one of Pearson's largest shareholders, weighed in last week by saying there were minimal synergies between the FT and Pearson's book-publishing operations, which make up the bulk of its business.
"If you started with a blank sheet of paper, you wouldn't construct Pearson as it is today," he said in an interview.
"[ The FT] is a small part of the business, even though its the most volatile part of the entire group in terms of profits."
Franklin Templeton has emphasised, however, that it is supportive of Pearson's management and is a long-term investor in the company.
Collins Stewart sued the FT for libel last year over its coverage of allegations by former equity analyst James Middleweek, who accused the brokerage of regulatory breeches in a document he sent to the British financial watchdog. The case is not due to come to court until November.
