Thomas Cook rejects sale speculation swirling around Fosun owners

Thomas Cook rejects sale speculation swirling around Fosun owners

Reports claimed Chinese parent company was looking to raise capital or sell

Thomas Cook has rejected reports that its Chinese owner is looking to sell the company.

A spokesperson told Travel Weekly: “Fosun Tourism Group has no plans to sell Thomas Cook.”

Sky News reported that sources had said that the Chinese conglomerate was contemplating either raising capital from external investors or selling the business directly.

It is understood that Fosun would consider options for Thomas Cook, which expects to handle up to 100,000 UK bookings this year, and also operates in China. 

Fosun acquired Thomas Cook’s name and intellectual assets for £11 million in November 2019, two months after the travel giant collapsed after failing to raise more than £1 billion needed to secure its survival.

The new online business launched in September 2020.

Thomas Cook UK saw booking levels in the first half of 2022 surpass 42,000, up by 740% year-on-year.

The UK arm’s revenue went up 340% in the first nine months of the year to around £120 million as it revived the ‘Don’t just Book it, Thomas Cook it’ slogan in advertising to capitalise on the lifting of most Covid travel restrictions across Europe.

The latest speculation emerged as Fosun was reported to be considering the sale of French all-inclusive operator Club Med. 

The rumours were denied by the French company, which described them as “irrelevant.”

A spokesperson told City AM: “Fosun has decided to focus on its consumer family-oriented business and to reinforce its financial structure by disposing of €7 billion to €11 billion of non-core assets.

“In this process, the group considers its core assets to be pharmaceutical, retail and tourism arms as well as insurance sector.

“Fosun intends to remain a strong actor in tourism with Fosun Tourism Group and its successful investment in Club Med remains an essential part of this.”