CAP Group Plc has bought London Regional Transport’s Business Services division for UKP1.13m. The division, which employs 90 staff all of whom will transfer to CAP, develops and maintains applications software for London public transport operating body, primarily on its IBM and ICL mainframes, but also on its IBM System 36 and 38 and Microdata kit. According to London Regional’s director of administration Rosemary Day, the division is currently profitable but the demand base in LRT is not increasing, and 90-odd staff is too small a number to maintain the wide range of products necessary. Neither side will reveal the turnover of Business Services, but at the price paid, the acquisition looks like a cheap way for CAP to acquire 90 sought after staff. CAP will provide software services to London Regional for a minimum of 12 months and has the right to tender for future contracts there for the next three years. The CAP deal does not affect Data Networks Ltd, London Regional Transport’s bureau and services joint venture with Williams Holdings Plc’s Duport subsidiary, which, Ms Day says, is doing very well. It has signed two major contracts since formation in July 1986 (CI No 472) and is on the verge of a third. By January, over half its business is expected to be outside contracts.