The U.K. Competition and Markets Authority has decided to block Sabre's acquisition of Farelogix.
"The products and services that Sabre and Farelogix provide ultimately affect many passengers flying in and out of the U.K.," CMA inquiry group chair Martin Coleman said in a statement. "The two companies are helping drive technological change in this industry, and we are concerned that the merger will see airlines and their U.K. passengers miss out on the benefits from continued innovation."
The decision comes a few days after Sabre scored a victory in the United States, as a U.S. district court judge ruled that the U.S. Department of Justice failed to prove that the merger violated antitrust laws.
Sabre in a statement said it was "disappointed by the CMA's findings" and that it would "carefully consider our options" but did not indicate whether it planned to appeal. The $360 million cost of the acquisition will be more difficult for Sabre to float amid the Covid-19 travel shutdowns, and the deal currently has a deadline of April 30, though Sabre and Farelogix could negotiate to extend it. Sabre also faces up to $25 million in break-up fees should the deal not go through.