Air Canada and Transat both released statements on Friday announcing the mutual termination of the $190 million deal. The deal that would have seen Air Canada acquire Transat was first announced in 2019, before the COVID-19 pandemic ravaged market conditions across the transportation and tourism industries. But Air Canada says resistance from the European Commission, tasked with signing off on the acquisition, is what ultimately sounded the deal's death knell. Air Canada offered insufficient concessions to address competition concerns about its planned acquisition, European Union antitrust chief Margrethe Vestager said on Friday. Vestager said she had strong concerns about the impact of the deal that Air Canada had failed to allay.

Source: CBC News April 02, 2021 17:32 UTC