First Choice is in ‘preliminary’ merger discussions with Kuoni, according to reports in the business press today.
Switzerland-based Kuoni was quick to respond to the reports, issuing the following statement: “One of the responsibilities of the board of directors and the executive board is to evaluate strategic growth opportunities.
“Among other things, this entails making contact with potential partners. Such discussions are confidential. Contrary to recent speculation, no such discussions are currently taking place. It is Kuoni’s policy not to comment on market rumours.”
First Choice declined to comment.
It is not the first time the two companies have been linked.
In 1999, they revealed merger plans but talks were abandoned when Airtours made a counter bid for First Choice.
Despite the bid being more popular with First Choice shareholders than the merger with Kuoni, Airtours changed its mind when the European Commission said it would launch a full-scale investigation into the takeover.
By Bev Fearis
