UPDATED - Adds government reaction
McGill's, Scotland's fourth-largest bus operator, has scrapped a bid to run bus services in Malta, the Herald Scotland has reported.
Chief executive Ralph Roberts said the company took the decision because of lack of openness by the Maltese government.
He also said McGill's had a "gut feeling" that excessive state interference would prevent it running a profitable service.
The Scottish company last month held a meeting with bus drivers to consider the situation in Malta.
Roberts, who was previously Arriva's west of Scotland director, told the Herald: "We decided last week that we're not going to pursue [the bid] any further. There were more questions than answers. I submitted about 30 questions where I needed further information which they have not provided.
"Their first option was to have someone take over an effectively nationalised service and assume the assets and liabilities.
"While they made that clear up front, they didn't say what this amounted to, so we had no idea what the liabilities were, what the assets were, what the revenue was, or the patronage numbers.
"I have been waiting three weeks for that [information] and we got to the point where if we are going to put a robust submission together we have gone past the point of no return. There were too many holes, too may gaps in the information.
"We're businessmen so we're analytical, but we operate on gut and it just didn't feel right. I've been involved in negotiations all over Europe, and the Maltese government's way is not the way you do negotiations."
"[Governments should] get all the information that's needed out as soon as possible, to allow companies that are bidding to get as much time as possible to get something together before the March 24 deadline. This is not the way they are working; they have a very different culture and it wasn't sitting well with us.
"We heard stories that it was difficult to pin down the Maltese government to fulfil their promises. On the other hand they were very eager to get the franchise-holders to deliver their contractual promises. It was a one-way street, in other words."
Roberts said that the company had been attracted to Malta as it offered a relatively small player a "level playing field" which would have enabled McGill's to double in size.
However, he noted that Arriva had made predictions about passenger growth that never materialised, partly because of government control of routes.
GOVERNMENT REACTION
In a reaction, the government said McGill’s was one of a number of companies/persons who indicated their interest to participate in the process for the provision of public transport services.
The call will remain open until April 7.
After registering interest in the process, McGill’s, sent requests for clarifications, as did other bidders.
"The government is in the process of replying to all bidders, not only to McGill’s queries. These are being done within the timeframes stipulated in the (call for) Expression of Interest.
"Nevertheless, all bidders have the right to pull out at any stage of the process," the government said.
It added that it was committed to provide all required clarifications by March 24, which is the timeframe stipulated in Section 10 of the Expression of Interest.