Thomas Cook has announced a joint venture with Chinese investment group, Fosun to grow domestic, inbound and outbound tourism in the Chinese market under Thomas Cook brands.
The new venture will be 51% owned by Fosun and 49% by Thomas Cook.
Fosun paid £92 million for a 5% stake in Thomas Cook in March and the previous month agreed to acquire French resort group Club Med.
Reto Wilhelm, current MD of Thomas Cook’s Eastern and Western European businesses, will take up the position of General Manager.
In his previous role as executive board member of the Kuoni Group, he headed Kuoni’s Asia and China division.
The board of the joint venture will comprise two Thomas Cook members and two from Fosun.
The venture is expected to be operational in the autumn, subject to obtaining the relevant regulatory approvals and licenses, and will be based in the China (Shanghai) Pilot Free Trade Zone.
Peter Fankhauser, chief executive officer of Thomas Cook, said: "We are excited at the prospects of entering the largest and fastest-growing tourism market in the world with such an experienced partner."
Qian Jiannong, president of Fosun’s tourism & commercial group, said: "Today, there is a lack of innovation and differentiation in the travel product offerings for Chinese tourists in China and abroad, presenting an excellent opportunity for our new joint venture to gain a competitive advantage."
