Big news hit the travel industry last week after it was announced that the popular UK holiday operator Thomas Cook is selling its corporate travel business. Thomas Cook will be selling this section of its business to Middle Eastern travel company Mawasem Travel & Tourism. This is a deal that is said to be worth more than £13.5 million.
Some experts in the travel industry already saw this coming. In fact, this deal comes just after Al Tayyar Group purchased Elegant Resorts from Thomas Cook earlier in the year. This new deal with Mawasem Travel & Tourism is expected to be completed this month.
BDO Manchester, a corporate finance team in the UK, is the group that has been advising Thomas Cook on this sale. Tim Clarke was the man who led the team at BDO Manchester. While talking about this deal, he said that the sale of Co-operative Travel Management is actually a great outcome for all of the parties that were involved, including Thomas Cook. This now allows Thomas Cook to completely focus on the core offerings that it has. It also allows Al Tayyar Group to further expand into the international scene. It is a win-win for everyone.
Clarke also noted that the speed of international trade has been speeding up. This is a very important part of any business growth, and the corporate travel market is going to reap the rewards of this growth. Right now, the industry as a whole has already started to see a lot of changes in the past few years. Looking at the big picture, it is easy to see how this most recent transaction has set a precedent for the whole industry. It is the very first trade travel deal of note for the UK corporate travel industry in a long time.
He added that, despite the fact that the market is going to be active for a number of private investors, this transaction is going to help more opportunities for international trade. This is a great thing no matter how it is viewed.
The current chief executive of Thomas Cook, Harriet Green, said that the sale of this part of the business is going to help Thomas Cook go even further and really focus on key brand growth. It is very important for Thomas Cook to focus on the core business and keep the consumers of this core business happy. This new sale is really going to help Thomas Cook achieve sustainable and profitable growth. Thomas Cook would also like to extend its best wishes to Mawasem and hopes it can achieve success.