Thomas Cook plc is repurchasing Thomas Cook India
The UK-based travel firm sold the Indian unit to a Dubai Financial company 2 years ago. A global announcement is expected later in the day.
UK.-based travel operator, Thomas Cook plc is repurchasing Thomas Cook India ltd (TCIL), which it sold to Dubai Financial two years ago. The Dubai group owns 62% in TCIL and the buyback is being done at Rs 107 per share, highly placed sources in the company told ET. The deal is expected to be announced globally later today.
The buyback of the Indian travel major, is a reaffirmation of the growing strength of the Indian market. The TCIL share rose almost 5% to Rs 88.50 on the BSE within five minutes of the market opening.
TCIL has 180 outlets in 40 Indian cities, employs 2,500 people and is India's biggest tour operator. It has a strong presence in the forex, inbound, outbound and business travel segments. Since the entry of the Dubai group, the company has been growing aggresively through a series of acquisitions, mainly in the travel and foreign exchange space. It bought out LKP Forex to consolidate its lead in the foreign exchange business.
This was followed by the acquisition of Travel Corporation of India (TCI), an established player in the inbound tourism business. Thomas Cook's connections date back to the Victorian era when John Mason Cook, son of the founder, opened an office in Bombay in 1881. It operated tours for artisan and middle classes of India and helped to transport Muslim pilgrims to Mecca.
In the first nine months last year, TCIL earned consolidated revenue of Rs 225.8 crore (Rs 121.3 crore) and profit after tax of Rs 30.5 crore (Rs 17.3 crore).
The buyback of the Indian travel major, is a reaffirmation of the growing strength of the Indian market. The TCIL share rose almost 5% to Rs 88.50 on the BSE within five minutes of the market opening.
TCIL has 180 outlets in 40 Indian cities, employs 2,500 people and is India's biggest tour operator. It has a strong presence in the forex, inbound, outbound and business travel segments. Since the entry of the Dubai group, the company has been growing aggresively through a series of acquisitions, mainly in the travel and foreign exchange space. It bought out LKP Forex to consolidate its lead in the foreign exchange business.
This was followed by the acquisition of Travel Corporation of India (TCI), an established player in the inbound tourism business. Thomas Cook's connections date back to the Victorian era when John Mason Cook, son of the founder, opened an office in Bombay in 1881. It operated tours for artisan and middle classes of India and helped to transport Muslim pilgrims to Mecca.
In the first nine months last year, TCIL earned consolidated revenue of Rs 225.8 crore (Rs 121.3 crore) and profit after tax of Rs 30.5 crore (Rs 17.3 crore).
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