Fairfax's Thomas Cook (India) announced that it has signed an agreement with Thomas Cook United Kingdom (UK) to acquire the rights to the Thomas Cook brand in India, Sri Lanka and Mauritius for a one-time payment of approximately £1.39 million. The company in a statement said that it signed an agreement with AlixPartners, which is appointed special managers, to acquire the rights.
Two months ago, Thomas Cook UK went bankrupt leaving several of their customers in trouble. TCIL was previously contracted to pay an annual brand licence fee of £200,000 to TCUK until 2024 for usage of the brand. Thomas Cook (India) Limited has operated the Thomas Cook brand name uninterrupted in India since 1881. In 2012 when TCIL was acquired by Fairfax Financial Holdings of Canada, TCIL had entered into a Brand Licence Agreement with Thomas Cook Group UK for exclusive use of the brand name until 2024 across India, Sri Lanka and Mauritius. The brand license agreement also gave TCIL the right of first refusal to acquire the brand in the event of the Thomas Cook UK Group going into liquidation before 2024. TCIL’s acquisition of the exclusive ownership of the Thomas Cook brand in these markets means that TCIL can now use the iconic travel services brand name that they have operated for 138 years in India. This agreement ensures brand use rights in perpetuity and means that TCIL can use the brand in perpetuity on a royalty-free basis.
Today, the Thomas Cook India Group, is one of the largest travel service provider networks headquartered in the Asia-Pacific region - spanning 29 countries and 5 continents, a team of over 9,700 and a combined revenue in excess of £ 671.87 million for the financial year ended March 31, 2019. The Thomas Cook India Group also operates leading B2C and B2B travel brands including SOTC, TCI, SITA, Asian Trails, Allied T Pro (ATP), Australian Tours Management (ATM), Desert Adventures, Luxe Asia, Kuoni Hong Kong, TC Travel, Private Safaris East & South Africa, Sterling Holidays and Digiphoto Entertainment Imaging (DEI), with strategic investments in Ithaka by Travel Junkie Solutions.