Thomas Cook is on the brink. The famous British travel agency risks an imminent bankruptcy. Heavily indebted, it must imperatively find 200 million euros before Sunday evening. Shareholders and creditors chained meetings in what looks like a race against the clock.
1.3 billion euros in debt
If Thomas Cook collapses, it would be a tourist disaster. More than 600,000 people are currently on vacation around the world through him and would then be left behind. Their repatriation should be organized, an operation that could cost several billion euros.
If Thomas Cook is now on the brink of bankruptcy, it is because of his debts: 1.3 billion euros accumulated over the last ten years. The blame for the increasingly fierce competition in the tourism sector and more recently the uncertainties related to Brexit.
Final settlement on Sunday evening
To save the group, a recapitalization plan was put in place this summer. One of Thomas Cook's main shareholders, the Chinese Fosun, and his creditors, mainly major British banks, agreed to contribute one billion euros in exchange for an increase in their stake.
For now, that's not enough. To stay afloat, Thomas Cook still needs an additional 220 million euros. Except that no investor seemed Saturday decided to put the hand to the wallet. In an attempt to find a way out, a final crisis meeting was held Sunday morning in London. The board of directors must meet at the end of the afternoon.