CMA Publishes Interim Report in Corporate Travel Merger
November 6, 2024
London, UK – The Competition and Markets Authority (CMA) has today published its interim report in its investigation into the proposed merger between CWT and American Express Global Business Travel (GBT).
The CMA launched its investigation in June 2024, following the announcement of the proposed merger. The CMA is considering whether the merger may result in a substantial lessening of competition in the UK market for corporate travel services.
In its interim report, the CMA has set out its provisional findings on the following issues:
- The definition of the relevant market
- The competitive landscape
- The likely impact of the merger on competition
The CMA’s provisional findings are that:
- The relevant market is the UK market for corporate travel services.
- The competitive landscape is concentrated, with CWT and GBT being the two largest players.
- The merger is likely to lead to a substantial lessening of competition in the UK market.
The CMA has invited comments on its interim report by December 11, 2024. The CMA will then consider the comments it receives and publish its final report in early 2025.
Background
CWT is a leading global corporate travel management company. GBT is a leading provider of business travel services to corporations worldwide.
The proposed merger would create a company with a combined revenue of over $12 billion. The company would be the largest player in the global corporate travel market.
Implications
The CMA’s findings are likely to have a significant impact on the proposed merger. The CMA could block the merger if it finds that it is likely to result in a substantial lessening of competition.
The CMA’s findings are also likely to be closely watched by other competition authorities around the world. The CMA’s decision could set a precedent for how other competition authorities approach similar mergers in the corporate travel sector.
Media Contact:
Competition and Markets Authority press@cma.gov.uk 020 3738 6000
CMA publishes interim report in corporate travel merger
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