KKR, Carlyle Group join race for Thomas Cook (India): report
15 Mar 2012
Debt-ridden travel services provider Thomas Cook Group Plc, which is selling its majority stake in its Indian unit Thomas Cook (India), has received at least eight bids, including from private equity firms Kohlberg Kravis Roberts and Carlyle Group, the Business Standard today reported.
Thomas Cook, Europe's largest tour operator and UK's second-largest foreign exchange group, last month said it plans to sell its 77.11 per cent stake in Thomas Cook (India) in order to bring down its debt, estimated to be around £900 million (See: Thomas Cook to sell stake in Indian unit).
Citing an industry source, the paper said that India's Muthoot Finance, China's HNA Group and Hong Kong-based Bravia Capital have also submitted bids for Thomas Cook (India), which is currently valued at around Rs1,317 crore (£168 million).
The final decision on the bids will be taken by July-August this year, following a two-stage selection process, a company official told the paper.
The paper also said that the current management of Thomas Cook (India) may come up with a counter bid.
With over 60 per cent market share, Thomas Cook (India) is the only profitable unit within the group's global operations, having posted a profit of Rs47 crore on revenues of Rs310 crore for 2011.
