Holidaybreak confirms bid talks with Cox & Kings
British specialist travel company Holidaybreak on Tuesday confirmed that it was in discussions with tour operator Cox & Kings Ltd. regarding a possible offer.
July 26, 2011 / 16:13 IST
British specialist travel company Holidaybreak on Tuesday confirmed that it was in discussions with tour operator Cox & Kings Ltd. regarding a possible offer.
Holidaybreak shares were up 12% at 412 pence, making it the second biggest gainer on the London Stock Exchange on Tuesday.The company said the discussions may or may not lead to a cash offer of 432.1 pence per ordinary share, which is at a premium of 18% to the stock's Monday close."We view the offer price of 432.1p as broadly adequate...the main prize for any bidder is the education division," analyst Sahill Shan at Brewin Dolphin said.The company, which provides residential outdoor education and adventure trips for school children, is valued at 225.24 million pounds based on its Monday's close. Holidaybreak had on Monday revealed it was in takeover talks with third parties. Cox & Kings Ltd, the parent of UK-based unlisted Cox and Kings, had allocated liquid funds of over Rs 10 billion in January for acquisitions in the US and Europe. The tour operator gets over half its overall revenues from its international operations and is looking at more overseas buys to drive future earnings and growth. Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
