HC Deb 29 January 1990 vol 166 c62W
Mr. O'Neill

To ask the Secretary of State for Defence when he was informed of GEC's intention to bid for Ferranti Defence Systems Ltd.; whether he or any of his Ministers or officials met the boards of either or both companies before the talks with the West German Defence Minister on 22 January; whether he was consulted by either of the companies involved in the takeover before the announcement of 23 January and in what respects he assessed the bid by GEC for Ferranti differently from those made by the same company for Plessey in 1986 and 1989.

Mr. Alan Clark

My right hon. Friend and 1, and Ministry of Defence officials, maintain contact with the management of all major defence contractors, including Ferranti and GEC; the details of our discussions are always confidential. However, I can say that the two companies informed the Ministry of Defence that discussions were taking place between them. The proposed acquisition will be assessed in the normal way by the Director General of Fair Trading under the provisions of the Fair Trading Act 1973.