The Telegraph newspaper has been acquired by a consortium led by the Alton Group, which has been selling newspapers across Australia for decades.
The newspaper is owned by the Telegraph Media Group, whose holdings include the ABC and the ABC Television Network.
The sale was announced at a special public auction on Friday.
The paper’s circulation fell from 8.7 million to 5.7million between March and June, with many readers opting to pay more for its more premium offerings, including its Sunday print edition and Sunday digital edition.
The Telegraph said the sale was the result of a combination of factors, including the news of the acquisition.
“It has been the most difficult period for the paper in my long career,” managing editor Tim Hickey said.
“The purchase of the newspaper by Alcoa and the consortium was a significant catalyst, but I can assure you that this will be a strong, long-term company and an attractive buyer.”
The Telegraph is one of the few newspapers to survive in the digital age, as many people increasingly use smartphones and tablets to read their newspapers online.
Mr Hickey was the chairman of the consortium and will be paid $400,000 in cash.
The consortium is led by Mr Hodge’s son Andrew and his partner, James.
The Alton group also owns the Australian Financial Review and the Adelaide Advertiser.
The Australian Financial Press and the Sydney Morning Herald are owned by Alpacas.
The ABC has sold to the Australian Broadcasting Corporation.