P&O Ferries has confirmed it is not in the running to buy troubled cross-channel ferry operator SeaFrance.

SNCF-owned SeaFrance was put up for sale earlier this year, but while a P&O spokesman admitted an initial interest, it decided not to make an offer.

The spokesman said: "It isn't so much [that we are] pulling out of the running, as confirming we're not in the running, as the deadline for bids approaches."

Explaining why P&O decided against making an offer, he added: "We can't see how it would enhance our business."

"We've got our own purpose-built new ships on the way, so have no need for SeaFrance capacity. It would be a considerable challenge, and risk, to try to integrate SeaFrance into this organisation."

Press reports suggest four companies are in the running to buy SeaFrance: Brittany Ferries, Veolia, LD Lines and Eurotunnel. Bids will be revealed later this month.

In September, IFW reported SNCF had appointed a subsidiary of French bank Credit Agricole to pilot the sale of SeaFrance.

IFW understands that Credit Agricole-CIB was first mandated by SNCF to find a potential buyer for SeaFrance as far back as 18 months ago and that this mission was "reactivated" in September.