Thomas Cook to expand Hotels4U.com
Thomas Cook is to expand newly acquired online bedbank Hotel4U.com into Germany and its other source markets worldwide.
Hotels4U.com already has a foothold in Russia but will be grown under its new ownership into Thomas Cook’s 15 source markets.
Thomas Cook paid almost £22 million for a 75% majority stake in the online company from Associated Newspapers and existing shareholders.
Hotels4U.com, which made a profit of £2.2 million last year, will also be intregated into thomascook.com and Thomas Cook’s Flexibletrips business.
Thomas Cook Group chief executive many Fontenla-Novoa, speaking following the announcement of the deal, said Hotels4U.com has been chosen for the strength of its systems and management team.
“This is a quality business, this is not a business built to make a quick buck,” he said. “We have bought it to grow it and expand to other Thomas Cook source markets.”
Hotels4U.com will operate as a stand-alone company.
“It will be run as a separate business. We did not buy it t suffocate and integrate it,” said Fontenla-Novoa.
He said that Germany had “huge potential” for the bedbank.
John Kent, chief executive of Hotels4U.com rival youtravel.com said: “Strategically for youtravel.com this announcement means that we will be redoubling our efforts to increase our customer base and work even more closely with our trade partners.
“With the continuing strong support from our investors Barclays Ventures we intend to consolidate our position and be the number one player in the accommodation-only market across Europe.”
Congratulating Thomas Cook for the acquisition, Kent added: “As the one who invented the resort accommodation-only sector with medhotels.com, I am gratified to see the big boys taking it seriously and realising that this model is the future.”
*See linked acquisition story.
by Phil Davies
Phil Davies
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