Thomas Cook has sold its Egyptian and Lebanese businesses to Bahrain-based business conglomerate, Yusuf Bin Ahmed Kanoo Holdings, for £6.5 million.
The travel group has announced the sale of 100% of Thomas Cook Egypt and Thomas Cook Lebanon which offer outbound corporate and leisure travel to Egyptian and Lebanese customers, as well as foreign exchange services.
But it expects to incur an exceptional non-cash loss on the sale of £19.5m – principally due to the write off of goodwill – which will be provided for in the year ended 30 September 2013.
Thomas Cook was quick to point out that this is unconnected to its outbound programme for European customers who wish to travel to Egypt.
It said the Thomas Cook Group plc will continue to offer its customers from other markets travel services to Egypt.
Harriet Green, chief executive, Thomas Cook Group plc said: "I am pleased to report further progress on our rapid transformation of Thomas Cook.
"This sale will enable us to focus more of our capital and resources on our core businesses, supporting the delivery of profitable growth."
The businesses being divested generated an operating profit of £0.9m in the 11 months ended 31 August 2013.
