Shares in Thomas Cook have fallen by 20% on Friday after it issued a statement confirming it needed to find an extra £200m to help a financial hole.
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The travel company could fall into administration this weekend unless they can find £200m in extra funds needed to secure its future. Banks, including RBS and Lloyds, demand the firm finds the funds in case it needs extra money during the winter months.
Thomas Cook hoped they would secure a rescue deal from China’s Fosun this week however, the creditor banks issued a last minute demand for the £200m funds.
Thomas Cook have been fired with queries from concerned holiday makers after they heard the company were trying to find funds for their financial gaps.
@ThomasCookCares can you advise on my flight from mco to orlando 15th october due to recent social media reports about collapse of company?very worried
— stephen alderson (@aldersonsteve) September 19, 2019
Hi Samantha, the financial news is nothing to worry about. It’s business as usual here and all our flights and holidays are going ahead as planned. ^Adam
— Thomas Cook Cares (@ThomasCookCares) September 19, 2019
If the company does go into administration it would start an operation to fly home more than 150,000 Britons who are abroad with Thomas Cook holidays.
Thomas Cook is one of the world’s largest travel companies. It was founded in 1841 to operate temperance day trips. It now has annual sales of £9bn. If the rescue deal goes ahead, it would be majority owned by Fosun.
