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Further disposals as Thomas Cook seeks to raise funds

Further disposals as Thomas Cook seeks to raise funds

Thomas Cook has agreed to sell a surplus office property to FN2 B.V., a company of the Fotex Group, for €18 million.

The decision comes as the troubled tour operator seeks to raise funds following a difficult winter period.

In November Thomas Cook was forced to seek emergency loans from its banks to improve its financial position.

The group subsequently sold its interest in Spanish hotel chain Hoteles Y Clubs De Vacaciones (HCV) to hotel operator Grupo Iberostar.

Announcing losses of £398 million for the year in December, Thomas Cook also said it would close 200 shops.

The latest deal will see a former Thomas Cook office in Hoofddorp sold.

It is currently rented to third party tenants.

Under the terms agreed with Fotex, €11 million will be paid to Thomas Cook by December 31st 2011, €4.2 million will be paid by March 31st 2012 and €2.8 million will be deposited into escrow.

This transaction is part of Thomas Cook’s disposal programme announced earlier this year, which has targeted selling up to £200 million of non-core assets over a six to eighteen month period. 

Transaction proceeds will be used to reduce Thomas Cook’s borrowings and/or for general corporate purposes.