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Uncertainty clouds WestJet’s acquisition of Sunwing Airlines

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Canada’s Competition Bureau has delivered an advisory report to the government regarding WestJet’s proposed acquisition of Sunwing.

In its assessment the Bureau has raised concerns that combination could lessen competition in Canada’s vacation package sector. 

It is still undecided whether the government will ultimately approve the purchase; but publicly, WestJet continues to exude confidence that the transaction will close in 2023. 

Neither company has offered an alternative strategy if the government does not endorse their tie-up. So it could be safe to assume it will be business as usual if WestJet and Sunwing are prevented from moving forward with their plans. 

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