Airtours / First Choice- Court quashes EC takeover ruling
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Join Date: May 1999
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Airtours / First Choice- Court quashes EC takeover ruling
LUXEMBOURG (CNN) – The European Union's highest court clipped the wings of the European Commission, quashing its decision to block a merger dating back to 1999.
The ruling may rein in the power of the European Commission, the executive arm of the 15-nation European Union, to block future deals.
In a 67-page decision the European Court of First Instance, the lower branch of the European Court of Justice, said the commission's decision was taken "without proving that it would actually have an adverse effect on competition."
Britain's Airtours, now called MyTravel, had bid £850 million ($1.3 billion) for smaller rival First Choice in 1999 but the commission said the deal would undermine competition in the UK tour operating market.
The ruling may rein in the power of the European Commission, the executive arm of the 15-nation European Union, to block future deals.
In a 67-page decision the European Court of First Instance, the lower branch of the European Court of Justice, said the commission's decision was taken "without proving that it would actually have an adverse effect on competition."
Britain's Airtours, now called MyTravel, had bid £850 million ($1.3 billion) for smaller rival First Choice in 1999 but the commission said the deal would undermine competition in the UK tour operating market.
Join Date: Sep 1999
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My bet is that First Choice and MYT are already involved in merger talks. They need to get together to fight off Preussag and TUI. An agreed merger must be on the cards. Place your bets!
