Thomas Cook and The Co-operative Travel Group have applied to the Office of Fair Trading to fast-track the review of their merger and refer it directly to the Competition Commission.
The companies understand that the OFT will refer the application to the Commission within the next three weeks. The Commission will then have six months to reach a decision.
Travel Weekly reported last week that Cook was poised to take the unusual step of demanding a referral.
The OFT can choose to complete its own review before deciding whether to pass the matter to the CC. But a fast-track referral is allowed in certain circumstances if a company requests it.
Thomas Cook chief executive Manny Fontenla-Novoa said: “We continue to believe that there is compelling rationale for clearance, particularly when you consider previous decisions in our sector. We feel that proceeding straight to the Competition Commission should provide us with the right answer most quickly.
“Our view on the benefits of the transaction is unchanged and we remain fully committed to the merger. We will continue to work closely with the authorities to expedite clearance.”
The Thomas Cook-Cooperative Travel-Midlands Co-op amalgamation would create a retail chain of up to 1,300 shops, although the authorities are likely to demand the sale of part of the business.
In a submission to the European Commission last December, the OFT suggested the merger threatened “to affect competition within the UK”. It noted: “The OFT considers there may be local competition concerns . . . due to the concentration of retail outlets within certain local areas.”