TUI Group has concluded the sale of accommodation-only division Hotelbeds.
The sale, to British investor Cinven Capital Management and Canada Pension Plan Investment Board for €1.19 billion, frees up TUI to concentrate on its hotel and cruise businesses.
CEO Fritz Joussen said: "With the successful completion of the disposal, we are consistently continuing our strategy.
"TUI covers the whole tourism value chain, however, our investments focus on our own products that differentiate us from our competition.
"These are primarily hotel and cruise businesses. We will use the proceeds to continue our growth roadmap for our hotel and cruise portfolio and further strengthen our balance sheet."
TUI will provide a strategy update, including details regarding the reinvestment of proceeds from the disposal, at the presentation of its results for financial year 2015/16 on December 8 2016.
TUI has also announced a further expansion of its hotel portfolio with a new TUI Blue Hotel in Croatia.
