The antitrust regulators of the European Union issued a warning on Friday regarding Booking Holdings’ proposed acquisition of ETraveli, which could potentially increase the market position of the U.S. company in the online travel agency industry and result in higher costs for hotels.
According to a statement from the European Commission, the hotel OTA market has limited competition and Booking seems to be unaffected by competition from other OTAs, hotels, and end-customers.
Related: Spain Goes After Internet Giant Booking.com
The EU competition watchdog has expressed concern that the deal could strengthen Booking Holdings’ negotiating position with hotels, and potentially reduce demand for lower-cost sales channels, resulting in increased costs for both hotels and customers.
The decision on the deal is set for Aug. 30 by the European Commission.
In November 2021, Booking declared its intention to acquire Etraveli, a private equity firm owned by CVC Capital Partners. Etraveli owns Gotogate and Mytrip brands and a company called TripStack, which provides airline integration services.
Featured News
Justice Department Moves to End NCAA Transfer Rule
May 30, 2024 by
CPI
Kenya’s Competition Authority Proposes Tougher Regulations on Big Tech
May 30, 2024 by
CPI
KKR Secures EU Antitrust Approval for $24 Billion Acquisition of Telecom Italia’s Fixed-Line Network
May 30, 2024 by
CPI
European Court Sides with Tech Giants in Italian Regulatory Dispute
May 30, 2024 by
CPI
US Steel and Nippon Steel Secure International Approvals for $14.9B Merger
May 30, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Healthcare Antitrust
May 31, 2024 by
CPI
AI and Antitrust Considerations in U.S. Health Care
May 31, 2024 by
CPI
Uncertainty in the Bottom Line: New Antitrust Scrutiny and Enforcement in Private Equity Transactions
May 31, 2024 by
CPI
Effecting M&A Diligence When Competitors Are Involved
May 31, 2024 by
CPI
AI, Pharmaceutical Sector, and EU Competition Law and Policy: What Does the Future Look Like?
May 31, 2024 by
CPI