On September 23, 2019, Thomas Cook PLC (UK, TCPLC) announced filing for compulsory liquidation with immediate effect. Thomas Cook India Limited (TCIL) is a completely separate entity from Thomas Cook UK post-acquisition of 77% stake by Canada based Fairfax Financial Holdings in 2012. While TCIL is a brand licensee of 'Thomas Cook' brand in India, there exists no shareholding or business linkage between the two companies.
Hence, CRISIL believes that the liquidation of the UK-based entity should not have a material impact on TCIL's credit profile. TCIL has also communicated through various releases that it is a completely separate entity from Thomas Cook UK. While the brand has been licensed to TCIL until November 2024, TCIL is evaluating various options including transitioning to a new brand. CRISIL will continue to track the developments on this front.
Shares of Thomas Cook (India) are up ~3% in morning trade.
The scrip opened at Rs140 and has touched a high and low of Rs148 and Rs139.50 respectively. So far 1,37,991 (NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs5,205.75cr.
Post a Comment