HC Deb 03 June 1997 vol 295 cc140-1W
Mr. Canavan

To ask the President of the Board of Trade if she will make a statement about the Monopolies and Mergers Commission's report on the merger between FirstBus and SB Holdings and the implications for Midland Bluebird. [1153]

Mr. Nigel Griffiths

[holding answer 2 June 1997]: The MMC's report on the acquisition by FirstBus plc of SB Holdings Ltd. (SBH) was published in January 1997. In line with the MMC's recommendations, the then Minister for Corporate and Consumer Affairs, Mr. John Taylor, asked the Director General of Fair Trading (DGFT) to seek undertakings from FirstBus to divest the business of its subsidiary Midland Bluebird, plus part of the Glasgow operations of SBH. In the event that FirstBus has not identified a firm buyer that has been approved by the Secretary of State by 24 October 1997, the undertakings which are being sought will provide for the divestment of SBH in its entirety without divestment of any of Midland Bluebird's operations. The DGFT will advise my right hon. Friend the President of the Board of Trade on the outcome of his discussions with FirstBus in due course.