Thomas Cook sells, Red Label buys

Mississauga, Ont.-based Red Label Vacations Inc. (redtag.ca) has purchased Thomas Cook North America for $5.3 million. The transaction, which is subject to a number of conditions, including clearance by the Competition Bureau of Canada, is expected to be complete by May 31. Harriet Green (pictured), chief executive, Thomas Cook Group, commented, “As we continue to drive the transformation of the Thomas Cook Group, I am pleased to have reached agreement to divest our North American business, enabling us to focus on our core segments and future growth. The combination of TCNA’s product portfolio and Red Tag’s online presence form an attractive proposition for Canadian customers and we wish the team every success in the future.”In Canada, Thomas Cook includes such well-known brands as Sunquest, ALBATours, FunSun Vacations, Encore Cruises, Intair and Boomerang. Dean Moore, CEO, TCNA, had this to say, “This deal marks a very exciting milestone for our business.”Moore observed, “Together with our partners at Red Tag, who offer a very different approach and valuable skill set to our organization, I believe we are perfectly positioned as we continue to execute our turnaround plan.” And he continued, “This plan is already well advanced and yielding extremely positive results and this transaction provides the opportunity to continue with a significantly enhanced management capability.”