The UK’s Competition and Markets Authority (CMA) has granted American Express Global Business Travel (Amex GBT) provisional approval for its merger with Carlson Wagonlit Travel (CWT) after six months of investigation.
This marks a shift from the CMA’s earlier position.
“Having considered all of the evidence, particularly further analysis of CWT’s financial position, we have now provisionally concluded that the merger will not result in a substantial lessening of competition in corporate travel management services,” said Martin Coleman, Chair of the independent panel assessing the merger.
The CMA opened the decision for public comment until February 25. It is expected to make a final decision on March 9.
“The updated provisional conclusion by the CMA is an important milestone towards the consummation of the transaction,“ said Eric J Bock, Amex GBT’s Chief Legal Officer and Global Head of Mergers and Acquisitions.
The US Department of Justice recently filed a lawsuit to block the merger, claiming it threatens competition for global multinational corporate clients by reducing TMC options, risking higher prices and less innovation.
