DELHI: Tour operator and financial travel services provider Thomas Cook (India) said it expects to obtain regulatory approvals for the acquisition of Tata Capital Forex and TC Travel and Services in a month.
“We have a long-standing relationship with the Tata Group and the deal will also consolidate our position as a major player in the foreign exchange and corporate travel space,” Madhavan Menon, chairman of Thomas Cook (India), told The Economic Times.
The two companies will contribute about $350 million in sales, said Thomas Cook CEO Mahesh Iyer. He expects regulatory approvals to come in by the end of October.
The two entities, which were wholly owned subsidiaries of Tata Capital Ltd., have offices in 24 locations and over 300 employees across India.
“We get access to the Tata group of companies and the network of companies they manage. It gives us scale in terms of network and in our business employees are the key factor as we don’t own any hard assets. In foreign exchange, we have been growing at 10-12% CAGR and we expect the momentum to continue with this deal,” said Iyer.
Thomas Cook said in June it had completed the acquisition of Kuoni’s global destination management network, which expanded the footprint of the Indian group to 21 countries and four continents and included destination specialists such as Asian Trails, AlliedTPro, Desert Adventures Tourism, Australian Tours Management and private safaris across southern and eastern Africa. The company said after the acquisition that it had a combined revenue in excess of Rs 8,700 crore.