travel agent Thomas Cook has agreed to set-up a joint venture with Fosun International to develop domestic, inbound and outbound tourism activities for the Chinese market under Thomas Cook brands.
The joint venture will be 51 per cent owned by Fosun and 49 per cent by Thomas Cook.
The companies will make a combined cash contribution to the joint venture of £1.6m to support the initial start-up phase, of which Thomas Cook will contribute about half.
Peter Fankhauser, chief executive cfficer of Thomas Cook, said: “Today marks a significant milestone in our strategic partnership with Fosun.
“We are excited at the prospects of entering the largest and fastest-growing tourism market in the world with such an experienced partner.”
Qian Jiannong, president of Fosun’s tourism and commercial group, said: “We are delighted to work with Thomas Cook, the world’s best-known name in travel, to develop a leading travel business serving the growing number of Chinese travellers.
“Today, there is a lack of innovation and differentiation in the travel product offerings for Chinese tourists in China and abroad, presenting an excellent opportunity for our new joint venture to gain a competitive advantage.”
Fosun is China’s largest privately owned conglomerate.