Cook to acquire TCI

"Travel services company Thomas Cook (India) is close to buying the 40-year-old Travel Corporation (India) for about Rs 175 crore. Purchasing TCI, which has a significant presence abroad, will give Thomas Cook access to business from the increasing number of travelers visiting India for both business and pleasure as the country integrates closer with the world,” states the report in The Times of India of December 1, 2006.

"TCI is equally owned by the Katgara, Parikh and Kotak families. It is managed by the Katgara family with managing director Jehangir Katgara in the saddle. TCI’s website says it has a team of over 1,000 people working in 25 offices in India and 11 offices in the USA, Canada, the UK, Europe, China, Korea, Japan and Australia catering to 2,000 travel agents and tour operators.

"On the other hand, Thomas Cook (India), which was taken over by Dubai Financial early this year employs over 1,300 staff in 71 offices in the country. It had a turnover of Rs 142 crore in 2004-05.”

Thomas Cook "needed to reinforce its inbound business, so it was a strategic move to take over TCI,” said Madhavan Menon, managing director of Cook (Business India, February 11, 2007).

The Times cited travel industry pundits as stating this was an opportune time for the owners of TCI to cash in on their investments due to the tourism boom.