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Spanish Watchdog Investigates Major Travel Agencies for Cartel Behavior

 |  December 13, 2023

In a significant development, Spain’s competition watchdog, the CNMC (National Commission of Markets and Competition), announced on Wednesday that it has initiated an investigation into several prominent travel agencies and their parent companies for suspected cartel behavior both within Spain and internationally. If proven true, the companies could face fines amounting to up to 10% of their turnover.

The CNMC, responsible for overseeing fair competition in Spain, revealed in a statement that the companies under scrutiny are accused of engaging in practices that violate both Spanish and European antitrust laws. These alleged activities include the sharing of customers, collusion in the allocation of public tenders, and the exchange of commercially sensitive information.

Among the ten companies implicated in the investigation are well-known entities such as the retail giant El Corte Ingles, the Mallorca-based tourism group Barcelo, and their respective travel agency subsidiaries. The list also includes travel firms IAG7 and Wamos.

Related: EU Extends Deadline For Booking Holdings’ Acquisition Decision

During the investigative process, the CNMC executed searches at the headquarters of the implicated companies between March 28 and March 31. The commission’s statement did not provide specific details on the nature or scale of the evidence discovered during these searches.

El Corte Ingles, approached for a comment on the allegations, declined to make a statement. As of now, IAG7, Wamos, and Barcelo have not responded to requests for comments on the ongoing investigation.

The CNMC emphasized that the alleged actions if confirmed, would breach antitrust laws on both national and European levels. The commission’s final ruling on the matter is expected to be delivered within two years, following the completion of a thorough and comprehensive investigation.

Source: Reuters

Power Industry Shake-Up: Constellation Energy to Buy Calpine in Massive $26.6B Deal Power Industry Shake-Up: Constellation Energy to Buy Calpine in Massive $26.6B Deal

Power Industry Shake-Up: Constellation Energy to Buy Calpine in Massive $26.6B Deal

 |  January 10, 2025

US-based nuclear power giant Constellation Energy has announced a landmark deal to acquire privately-held natural gas and geothermal company Calpine Corp for $16.4 billion in a move that reshapes the American energy landscape. The acquisition, one of the largest in the history of the U.S. power sector, comes at a time of surging electricity demand driven by the rapid expansion of energy-intensive technologies like artificial intelligence and the ongoing electrification of transportation and buildings.

According to Yahoo the agreement will transform Constellation into the largest independent power provider in the United States, with a diverse portfolio spanning nuclear, natural gas, and geothermal energy sources. The deal, which also includes Calpine’s debt, values the transaction at $26.6 billion.

Following the announcement, Constellation’s stock surged by as much as 10% before markets opened, with gains extending to 22% shortly after trading began. The company expects the acquisition to close in the second half of 2025. Once finalized, the merger is projected to add $2 billion in annual free cash flow, further strengthening Constellation’s financial position.

Read more: Federal Competition Office to Scrutinize High Electricity Prices in Germany

The acquisition reflects the growing urgency for reliable and sustainable energy solutions. Per Yahoo, the combined entity will boast nearly 60 gigawatts (GW) of low- and zero-emission capacity, allowing Constellation to solidify its position as a key player in the nation’s clean energy transition. CEO Joe Dominguez emphasized the critical need to meet rising energy demands, saying, “Demand for our products is expected to grow by levels we haven’t seen in a lifetime.”

The transaction significantly expands Constellation’s geographic footprint, particularly in the high-demand markets of Texas and California. With this deal, Constellation’s share of generation capacity in Texas will jump from 11% to 23%, while its presence in California will rise to 10%, up from a negligible amount. Both states rank among the most populous and energy-intensive in the country.

Aneesh Prabhu, an analyst with S&P, described the deal as transformative, noting that the merger will create “the largest coast-to-coast power generator” in the U.S. The acquisition will also boost Constellation’s workforce by 20%, adding approximately 2,750 employees to its ranks and bringing the total headcount to 16,500.

Source: Yahoo