First Scotland is withdrawing its entire fleet from the Borders later this month, and West Coast Motors, which took over Perryman’s Buses last year, is in talks to take over the routes.
A spokesperson for West Coast Motors said: “We are currently in advanced discussions with First Scotland East regarding the purchase of its operations in the Scottish Borders.
“It would be inappropriate to comment while talks are under way.
“Once, and if, the purchase has been confirmed, we will look to engage with staff, customers and other key stakeholders.”
Borders MSP John Lamont said: “This is hugely concerning news.
“The new operator and the council need to work together to ensure we have a properly integrated and sustainable transport system in the Borders.”