Thomas Cook India Group proposes to raise over Rs. 600 Cr via dilution of 5.42% stake in Quess Corp.Will Retain controlling stake
Company to ulitize funds to retire long-term debt, improve profitability and build a corpus for future opportunities
Thomas Cook (India) Ltd., India’s leading integrated travel and travel related financial services company, has obtained Board approval to divest a 5.42% stake in its subsidiary Quess Corp Ltd., to bring its shareholding to 51.56%, thereby proposing to raise funds of over Rs 600 cr. through an Offer for Sale (OFS) process as prescribed by SEBI. The floor price of Rs 800 per share for this price discovery process is the same as that of the August 2017 IPP of Quess Corp.
This is in keeping with SEBI regulations that require promoters to bring down their stake to 75% and post dilution, the promoter shareholding in Quess Corp (that of Thomas Cook India and Ajit Isaac, CMD & CEO, Quess Corp.) would be 75.38%. Fairfax Financial Holdings Ltd., through the Thomas Cook India Group, is committed to maintaining a controlling stake in Quess Corp Ltd. The initiative is also aimed at retiring Thomas Cook India’s long term debt, thus bringing down the company’s financial costs and improving profitability and liquidity at both a standalone and group level.
Madhavan Menon, Chairman & Managing Director, Thomas Cook India Group, said, “At the Thomas Cook India Group we are committed to holding a controlling stake in our subsidiary Quess Corp. Our proposed dilution of a portion of our stake in Quess Corp is hence intended to comply with SEBI regulations. Our aim is to retire our long term debt and improve profitability; simultaneously increase our cash reserves, enabling us to effectively leverage opportune investments as and when they arise.”
You might also like
The Venetian Macao & newly opened The Parisian Macao to participate in SATTE 2017 Trade Show in India
Accommodation, entertainment and MICE packages to be highlighted in New Delhi for South Asia’s leading travel show February 15-17. Sands Resorts Macao properties including flagship The Venetian® Macao; Conrad Macao,
Qatar Airways introduces upgrades to its mobile app
Qatar Airways has rolled out innovative new features to its mobile functionality over the course of 2016, resulting in greater information available to the passenger during and after the journey.
Apeejay Surrendra Park Hotels brings its social catalyst brand ‘Zone by The Park’ to Jodhpur
Second property in Rajasthan with upcoming hotels in Pondicherry, Igatpuri & Goa The Park Hotels, pioneers of luxury boutique hotels in India, enters Jodhpur with the launch of its second hotel