UK regulator gives provisional go-ahead for American Express Global Business Travel’s GBT-CWT merger

The Competition and Markets Authority (CMA) has published a supplementary interim report provisionally approving the planned merger of corporate travel management companies American Express Global Business Travel (GBT) and CWT Holdings LLC (CWT). Both companies supply travel agency services to global businesses with high travel spend and employees who travel internationally. 

It marks a U-turn for the CMA, which only a few months ago had said the deal was likely to “substantially lessen competition”.

The CMA inquiry group has provisionally concluded that CWT is a “significantly weaker” competitor than it has been previously and is likely to continue to weaken. Further analysis suggested that CWT would not perform as strongly without the merger.

As a result, the group has published a supplementary interim report ahead of its final decision, setting out why the merger should be allowed to proceed.

Martin Coleman, Chair of the independent panel of experts assessing the merger, commented: “Having considered all of the evidence, particularly the 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.”

The inquiry group will now seek feedback on its supplementary interim report before making a final decision by Sunday 9 March.

The deadline for comments is Tuesday 25 February.

Business travel was expected to reach a record US$1.5 trillion in 2024.