Abu Dhabi, UAEFriday 22 November 2019

Fosun Tourism to buy Thomas Cook and related hotel brands for Dh52m

Hong Kong-listed company wants to expand its tourism presence

FILE PHOTO: A woman stands outside a closed Thomas Cook travel agents store near Manchester, Britain, October 9, 2019. REUTERS/Phil Noble/File Photo
FILE PHOTO: A woman stands outside a closed Thomas Cook travel agents store near Manchester, Britain, October 9, 2019. REUTERS/Phil Noble/File Photo

China's Fosun Tourism Group said on Friday it would acquire the Thomas Cook and related hotel brands for £11 million (Dh52.3m), in a bid to expand its presence in the tourism business.

The assets include trademarks, domain names, software applications and licences of the British travel firm and related hotel brands, Hong Kong-listed Fosun said, adding that it did not plan to buy overseas assets or businesses related to Thomas Cook for the time being.

Fosun Tourism chairman Qian Jiannong said the acquisition would enable the group to expand its tourism business "building on the extensive brand awareness of Thomas Cook and the robust growth momentum of Chinese outbound tourism".

Thomas Cook, the world's oldest travel firm, collapsed in late September succumbing to heavy debt, built up by a series of ill-fated deals, that hobbled its response to nimble online rivals.

Fosun Tourism, which was the largest shareholder of the former LSE-listed Thomas Cook, had offered to contribute £450m in August in return for a majority stake in Thomas Cook's tour operator business and 25 per cent of its airline.

This plan, however, fell through after Thomas Cook failed to secure further funds demanded by its lenders.

Updated: November 4, 2019 04:03 AM

SHARE

SHARE