HC Deb 07 December 1988 vol 143 c174W
48. Mr. Wallace

To ask the Chancellor of the Duchy of Lancaster when he last met the chairman of the Monopolies and Mergers Commission; and what subjects were discussed.

Mr. Maude

My right hon. and noble Friend the Secretary of State and I met the chairman of the commission in the course of the year and have discussed matters relevant to the work of the commission.

Miss Widdecombe

To ask the Chancellor of the Duchy of Lancaster what action he will take to stop companies who make bids which are referred to the Monopolies and Mergers Commission buying further shares in the market.

Mr. Maude

My right hon. and noble Friend has already made clear that in future cases, where mergers are referred to the Monopolies and Mergers Commission and in the past he would have sought undertakings regarding further share purchases, voting or other matters, he proposes to safeguard the conduct of the inquiry by making an appropriate order to come into effect when the reference is announced.

However, this entails making a new order on each occasion. As the prohibition on further purchases of shares by the bidder is to apply in all appropriate cases, it is proposed to put the prohibition on a permanent footing. It is therefore our intention to include such a prohibition among the provisions relating to mergers in the forthcoming companies legislation.