Thomas Cook India has signed a definitive agreement with Kuoni Group to acquire Kuoni’s Travel businesses across India and Hong Kong for £80 million.

The transaction remains subject to regulatory approvals as required.

Commenting on the acquisition, Prem Watsa, chairman, Fairfax Financial Holdings, the controlling shareholder of Thomas Cook (India), said: “Our acquisition of Kuoni’s tour operating and retailing businesses in India and Hong Kong as well as the Indian Inbound business reaffirms our belief in the India market potential, as also our strategic intent to explore viable geographies, including the larger Asia opportunity.”

As part of the acquisition, Thomas Cook India will take on all of the approximately 1,800 employees of Kuoni’s business unit in India and Hong Kong tour operating, and will continue to run the business activities as an independent company.

Peter Meier, chief executive of the Kuoni Group said: “With the sale of the tour operating activities in India and Hong Kong, we have completed the sale of the outbound business as announced in January.

“I’m very pleased that we found forward-looking solutions for the units in India and Hong Kong.”

Thomas Cook India is the leading integrated travel and travel related financial services company in the country offering a broad spectrum of services.