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US: DOJ sues to block merger of airline IT firms

By  |  August 21, 2019

The Justice Department is suing to block Sabre from buying Farelogix, a rival provider of technology services to airlines.

In a civil lawsuit filed Tuesday, August 20, the government claims says Sabre pursued the US$360 million deal to eliminate a competitor that has disrupted the market with more modern technology.

The Department claims if Sabre succeeds, it will lead to higher prices and less innovation for airlines and their customers.

Sabre announced that it will challenge the lawsuit and is confident of winning. It says the companies offer complementary services.

Sabre is based in Southlake, Texas, and started as the reservations arm of American Airlines. It’s the largest seller of services that let airlines sell flights through travel agents. Sabre had planned to close the deal Wednesday.

Full Content: City News

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