Merger-bound Stagecoach, National Express on British watchdog radar (updated)

ComfortDelGro

26/01/2022 08:11

(Adds detail, background)
    Jan 26 (Reuters) - Britain's competition regulator on
Wednesday issued an order preventing public transport group
StageCoach  SGC.L  and rival National Express  NEX.L  from
disposing of key UK assets as the watchdog reviews their merger.
    The Competition and Markets Authority indicated that it
seeks to "maintain the businesses in their current shape" as it
starts its probe into the merger, Stagecoach said, adding that
the order would delay a planned sale of parts of its inter-city
coach businesses to ComfortDelGro  CMDG.SI .
    StageCoach said that the companies believe the disposal to
ComfortDelGro should allay any competition concerns that might
arise from their overlapping coach operations.
    National Express announced in December it would buy
StageCoach in an all-share deal valuing the Perth-based firm at
about 445 million pounds ($600.79 million).  urn:newsml:reuters.com:*:nL4N2SZ2DG
    Stagecoach said the merger is still expected to close around
the end of 2022.        

($1 = 0.7407 pounds)

 (Reporting by Muhammed Husain in Bengaluru; Editing by
Subhranshu Sahu and Shailesh Kuber)
 ((Muhammed.Husain@thomsonreuters.com;))