Thomas Cook India Signs an Agreement to Acquire the Rights to the Thomas Cook Brand for the India, Sri Lanka and Mauritius Markets
In this case, we don’t agree! The name of Thomas Cook is iconic and synonymous with the best in Travel. The brand is known and respected, and to call it anything else just wouldn’t be the same.
We had the right to use it until 2024, but thanks to a new agreement, it is now ours forever! We are delighted to share with you that we have signed an agreement to acquire the rights to the Thomas Cook brand in India, Sri Lanka and Mauritius for a one-time payment of GBP 1.5 Million (approximately Rs. 139 Million).
Thomas Cook (India) Limited has operated the Thomas Cook brand name uninterrupted in India since 1881. In 2012 when TCIL was acquired by Fairfax Financial Holdings of Canada, TCIL had entered into a Brand Licence Agreement with Thomas Cook Group UK for exclusive use of the brand name until 2024 across India, Sri Lanka and Mauritius. The brand license agreement also gave TCIL the right of first refusal to acquire the brand in the event of the Thomas Cook UK Group going into liquidation before 2024.
The acquisition of the exclusive ownership of the Thomas Cook brand in these markets means:
- TCIL can now use the iconic travel services brand name that they have operated for 138 years in India that enjoys high recall and strong brand equity.
- The agreement ensures brand use rights in perpetuity and means that TCIL can use the brand in perpetuity on a royalty-free basis
- This move by TCIL also prevents possible new entrants into these markets, using the brand name
Madhavan Menon, Chairman & Managing Director, Thomas Cook (India) Ltd, said, “I am delighted that we have been able to sign an agreement to acquire the rights to the iconic Thomas Cook brand across India, Mauritius & Sri Lanka. The brand is one of the most respected names in the travel services space, and one that we at Thomas Cook India have operated uninterrupted for 138 years since 1881.”
In 2012 when TCIL was acquired by Fairfax Financial Holdings of Canada, we had entered into a Brand Licence Agreement with the erstwhile Thomas Cook Group of the UK to give us exclusive use of the brand until 2024 across India, Sri Lanka and Mauritius for an annual licence fee of Rs. 20 Mn. So when this very attractive investment opportunity of complete ownership of the brand name across these markets, for a onetime payment of Rs. 139 Million came up, it truly was an opportunity we had to grab!
Our teams now look forward to continue building on the glorious heritage of Thomas Cook across India, Sri Lanka and Mauritius, and to grow sustainable value for all our stakeholders in the years ahead.”