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Friends Reunited deal hits roadblock

 
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The Office of Fair Trading has referred the acquisition of Friends Reunited by online genealogy business brightsolid to the Competition Commission.

Social networking site Friends Reunited launched Genes Reunited, a family history website in 2003. brightsolid, which is owned by Dundee-based publisher DC Thomson & Co, has its own genealogy businesses, findmypast.com and 1911 Census.com, and agreed to acquire Friends Reunited in August for £25 million.

The combined business represents two of the three largest suppliers of online genealogy services in the UK.

Amelia Fletcher, OFT senior director of mergers, said: 'The proposed acquisition would see the three main providers of online genealogy services reduced to two, and we are concerned this could lead to a reduction in choice or service for consumers. We are therefore referring the merger to the Competition Commission for a fuller inquiry.'

A ruling is expected from the Competition Commission by April 2010. Friends Reunited was established in 2000 and was sold to ITV in 2005 for £175 million.

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