Amex GBT defends CWT merger amid DOJ lawsuit

American Express Global Business Travel (Amex GBT) is pushing back against the Department of Justice lawsuit challenging its proposed merger with CWT, calling the move a "blatant politicized effort." The DOJ argues the merger would stifle competition and raise costs for corporate customers, citing concerns that the two largest travel management companies would dominate the market.

Amex GBT disputes these claims, highlighting market shifts driven by technology-driven competitors such as Navan, Spotnana, and Kayak for Business, as noted by Skift. It also emphasized CWT’s weakened state, pointing to its 2021 bankruptcy and subsequent restructuring. Per Amex, these factors demonstrate the deal's potential to enhance, not hinder, competition​.

The UK’s Competition and Markets Authority has raised similar concerns. Critics, such as Chris Dane of Hickory Global Partners, argue the merger benefits only the two companies, comparing it to a hypothetical United-Delta airline merger.

If the deal is blocked, Amex GBT may owe CWT a termination fee of up to $35 million.