China’s Fosun to relaunch iconic British brand Thomas Cook in a bid to attract European tourists

Thomas Cook is set to be relaunched by its Chinese owner, which plans to use the 178-year-old British tour operator’s brand on a travel platform targeting European customers.

Fosun Tourism Group, the Shanghai-based company that bought Thomas Cook’s trademark following its dramatic collapse in September, will debut the platform in the first half of next year, according to a person familiar with the plans.

Some of Fosun’s existing travel offerings will be grouped together and re-branded as Thomas Cook, with the aim to lure travellers – particularly those in Europe familiar with the name – to the company’s resorts around the world, said the person, who asked not to be identified as they’re not authorised to speak publicly about the plan.

Tapping Thomas Cook’s former glory may prove challenging after its bankruptcy led to 9,000 job losses in the UK and left 150,000 tourists stuck overseas, with the holiday plans of thousands more ruined. Fosun, which owns resort chain Club Med, had acquired 18 per cent of Thomas Cook but balked at the cost of funding its rescue. The Chinese company, part of a wider group spanning insurance to pharmaceuticals, paid 11 million pounds (US$14 million) in November for the trademark and its two hotel brands – Casa Cook and Cook’s Club – along with their domain names, apps and social media accounts.

“Fosun Tourism Group salvaged a few remaining bits from a broken Thomas Cook, and while they may become profitable to some degree, they probably won’t become core assets,” said Brock Silvers, managing director of Hong Kong-based Adamas Asset Management. Buying the brand and intellectual property was a relatively low-cost way for Fosun to acquire a bit of upside in the hopes of ameliorating its initial miscalculation, he said. Silvers and Adamas don’t own Fosun-related shares, he said.

Founded in the 1840s as an operator of train trips through the English midlands, Thomas Cook’s demise raised questions about the viability of the packaged tour model as tourists pivot more toward individual and self-directed travel. Making the re-brand work could be tough for Fosun’s tourism arm, which has lost more than a third of its market value since listing in Hong Kong about a year ago. The new platform will offer services including resort and hotel bookings, show tickets and club memberships, said the person.