FIRST Choice is repackaging its deal with Kuoni to try to convince shareholders to accept the offer rather than wait for a possible new bid from Airtours.
As Travel Weekly went to press, a new document was being drawn up stating that a First Choice/Kuoni merger will lead to cost savings of between £15m and £20m.
An Airtours takeover of First Choice, currently being investigated by the European Commission, would lead to savings of £35m.
First Choice is telling shareholders that the EC is unlikely to grant Airtours clearance to take over the Crawley operator and shareholders have been given a new deadline of July 8 to decide on a merger with Kuoni.
But Airtours has sent out a strong message to First Choice shareholders to wait for it to come back for the company.
The Takeover Panel – a watchdog for the City – ruled that Airtours can re-bid for First Choice up to 21 days after the EC makes it decision, believed to be in early October.
Airtours group finance director Tim Byrne said: “Even if we have to sell off part of the business we could use the money from the sale to benefit shareholders.”
Meanwhile, speculation is also mounting that Thomas Cook owner Preussag will step in and make a bid for Kuoni (Travel Weekly May 3).
Talks are believed to have taken place between the two companies.