Al Tayyar Travel Group Holding, a major tourism company in the Gulf region, has announced the signing of the acquisition agreement with British company Co-operative Travel Management (CTM).
The deal authorises the Saudi-based company to a 100 percent shareholding in CTM, a statement said, adding that Al Tayyar aims to expand services in European countries through the acquisition.
The value of the deal amounted to £13.5 million ($22.5 million) and was funded from the revenues of the company.
The statement added that all necessary legal procedures to finalise the deal will soon be completed.
Dr Nasser Al Tayyar, deputy chairman and president of Al Tayyar Travel Group said: “With our recent acquisition of Thomas Cook’s UK luxury travel tour operating entity, Elegant Resorts, earlier this year and this addition to business in the EU markets, we have a greater opportunity to accelerate the current momentum across the travel industry, provide distinguished services for our customers an magnify returns for all stakeholders.”
Al Tayyar Travel Group said it aims to expand the scope of its business in EU countries “to provide distinguished services to the clients travelling to the region”.
The financial revenues from this deal are expected to begin in the third quarter of this year, he added.
CTM Company is considered one of the top travel and tourism companies in the UK providing rail, road and air transportation services. The company is also involved in conferences management and hotel accommodation services.
The sales of CTM Company in 2013 totalled £130 million and its workforce includes 207 employees spread across 15 branches in the UK.
In October, Al-Tayyar said the company Al Tayyar Travel Group expects earnings to grow about 25 percent this year.
Al Tayyar has over 3,000 employees and operates more than 350 branches, including 32 overseas.
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