TUI Travel acquires Magic Life
TUI Travel is to offer 13 new all-inclusive holiday clubs in Turkey, Tunisia, Egypt, Greece and Spain to customers after acquiring loss-making operator Magic Life.
The operator has scooped up Magic Life and its six operating companies for €6 in cash after agreeing a deal with current owner TUI AG.
Magic Life was suffering from huge losses - around €22.6 million in September 2010 - and was considered non-core by TUI AG. TUI will take on contingent debt of €10.5 million.
Its mid-range product was originally aimed at the Austrian and German markets and TUI intends to rebrand its properties under the Holiday Village and Blue Village brands in the UK and Nordic markets respectively.
TUI says it will not take on Magic Life's Vienna and Istanbul offices, its Turkish Sirene City property or its Nile cruise ship the MS Regent.
With permission from Travelmole
Post a Reply
Please sign in or register an account to reply to this post.
Similar Topics