Thomas Cook Group has received competition clearance from the European Commission for its acquisition of Gold Medal International.
The deal, originally announced in December, will see Thomas Cook pay an initial £24.9 million for a half share of the business.
The balance will be paid through an option mechanism with payment tied to financial performance.
In addition Thomas Cook will contribute its Flight Savers scheduled flights business to Gold Medal.
The deal has been made with Gold Medal founder and sole shareholder Ken Townsley.
The company’s brands include Gold Medal, which sells through independent travel agencies, Netflights.com, which sells directly to consumers, and luxury operator Pure Luxury.
Thomas Cook said it is intended that the combined Gold Medal and Flight Savers business will operate as a standalone entity.
It claims savings of more than £4 million a year will be generated as a result of cost efficiencies and better distribution.
Gold Medal management will report to Thomas Cook’s Ian Derbyshire, CEO of independent travel for UK and Ireland.
By Bev Fearis
