(Alliance News) - The UK Competition & Markets Authority on Thursday cleared Moneysupermarket.com Group PLC's deal to merge its travel business with Icelolly.com, saying the transaction will not be referred to a phase 2 investigation.
The deal is expected to complete in early September, Moneysupermarket said.
The price comparison service in May announced its plan to merge TravelSupermarket with Icelolly.com, owned by Palatine Private Equity LLP. TravelSupermarket allows customers to compare flights, hotels, travel insurance and other services, while Icelolly compares package holidays.
The new entity will be called Ice Travel Group and Moneysupermarket will own 62%, while Palatine and the management team will own the rest.
Both companies have been hit by restrictions on international travel since 2020. Icelolly is expected to incur a loss before interest, tax, depreciation and amortisation to the end of 2021, but in-year synergies will broadly offset it, Moneysupermarket said.
Shares in Moneysupermarket were down 0.5% to 254.80 pence in London on Thursday morning.
By Ivan Edwards; ivanedwards@alliancenews.com
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