THOMASCOOKNSEThomas Cook (India) Limited· Travel And TransportMediumNeutral
Announced Fri, 20 Mar · 19:41 IST

Thomas Cook (India) Limited has informed the Exchange about Consolidation of Share Capital.

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THOMASCOOK · price

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Price reaction · full curve 14 horizons · vs prior close
-8.6%1-day move
₹103.99
prior close
₹103.50
base price
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AI summary

Thomas Cook (India) Limited's board approved a composite scheme that will demerge its Resorts and Resort Management business (6 resorts under the Nature Trails brand) into its wholly owned subsidiary Sterling Holiday Resorts Limited (SHRL). The demerged unit had a turnover of INR 70 crore, about 0.4% of TCIL's standalone turnover for the year ended December 2025. TCIL shareholders will receive 81 SHRL shares for every 100 TCIL shares held, and SHRL will seek listing on BSE and NSE. As part of the restructuring, TCIL will consolidate 4 equity shares of face value INR 1 each into 1 share of face value INR 4 each, then reduce the face value further to INR 3 per share without any cash payout to shareholders. Three dormant subsidiaries (TC Visa Services, Jardin Travel Solutions, and Borderless Travel Services) will also be merged into TCIL to cut compliance costs. The scheme is subject to NCLT and other regulatory approvals and is expected to be completed in 15-18 months.

Likely market impact

Shareholders will end up holding shares in two listed entities (TCIL and SHRL) post the scheme. The share consolidation followed by face value reduction from INR 4 to INR 3 aims to improve earnings per share and present a more efficient capital structure, though the share count will reduce to about one-fourth. Overall, the move is intended to unlock value and enable focused growth in travel and hospitality businesses.