Thomas Cook is taking over a leading German operator specialising in holidays to Turkey in a €30 million deal.
Öger Tours carries more than 400,000 holidaymakers a year and reported gross revenues of €256 million and operating profit of €3.3 million in the 12 months to October 31, 2009.
Other businesses owned by founding shareholder Vural Öger have agreed to provide Thomas Cook with agency and accommodation services in Turkey worth €2.5 million at no cost.
Current trading is strong and Öger Tours expects to grow revenue and profit in the current year, Thomas Cook said.
The acquisition requires antitrust clearance from the European Commission and is expected to be completed by September.
Founded in 1969, the company is one of the leading tour operators in Germany, mainly selling package holidays to Turkey.
The takeover is expected to generate “significant synergies” worth more than €8 million a year through operational savings, more in-house flying with Condor, better utilisation of aircraft and the combined purchasing of flights, hotels and in-resort services, Thomas Cook said.
The company expects to realise the full benefit of these synergies in the second full year of ownership.
The Öger Tours brand will be retained together with its Hamburg offices.
The operator’s directors Vural Öger and his daughter Nina Öger will both resign but continue to provide advice and support to Thomas Cook through their “strong relationships” in Turkey.
Thomas Cook group chief executive Manny Fontenla-Novoa said: “We have been exploring opportunities to reinforce Thomas Cook’s strong position in Germany, one of the group’s largest and most important operating segments, and this acquisition represents an important step in our strategy to achieve this.
“The transaction also further strengthens our presence in Turkey, a key destination for all of our European markets. Overall, I believe we have secured a strategically important and financially attractive transaction that will deliver substantial benefits to the group.”
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