HC Deb 20 November 1985 vol 87 cc184-5W
Mr. Lawrence

asked the Secretary of State for Trade and Industry what advice his Department offers British companies proposing to buy stakes in Australian companies about restrictions placed by the Australian Government upon foreign companies wishing to buy a controlling interest in an Australian company.

Mr. Butcher

Such companies would be advised to consult the Australian Government and, in particular, to take note of the Foreign Takeovers Act 1975. This gives the Australian Government powers to prevent or reverse transactions in which a foreign company gains a controlling interest in an Australian company, if the transaction is deemed to be contrary to the national interest.

Mr. Lawrence

asked the Secretary of State for Trade and Industry if he will make representations to the Australian Government seeking reciprocity of treatment as between British companies wishing to buy into Australian companies in Australia, on the one hand, and Australian companies wishing to buy into British companies in the United Kingdom, on the other.

Mr. Butcher

If a case arises of a British firm experiencing difficulties in attempting to take over an Australian company, the Government would be prepared to consider taking the case up with the Australian Government where appropriate.