Fund infusion of Rs 436 cr from Fairfax mitigated impact of operating losses for Thomas Cook India

Despite the adverse impact of the pandemic, Thomas Cook India (TCIL) has witnessed sequential business recovery during the last nine months of fiscal 2021. This has resulted in sequential reduction in operating losses. The fund infusion TCIL received from its parent Fairfax of Rs 436 crore of optionally convertible cumulative redeemable preference shares during March 2021 has also mitigated impact of operating losses and provided support to its liquidity.

Madhavan Menon, Managing Director, Thomas Cook (India), said, “The reaffirmation of the rating from CRISIL is a reassurance of our sound business fundamentals and financial management, despite the headwinds brought on by the pandemic. Factored in equally, is our strong brand equity and leadership positioning in the forex and travel businesses; as also the strong support from our parent Fairfax. Our consistent efforts at reimagining our businesses coupled with effective cost management have played a key role in navigating through the past 15 months and we will continue to focus on innovation and digitisation as we build momentum towards recovery.”