First Free Story (1 of 3)Join Skift Pro
Outside shareholders in TUI Travel will receive 0.399 of a share in the combined entity for each share in the U.K. travel operator that they currently own, the Crawley, England-base company said today in a statement. Investors in Hanover, Germany-based TUI AG will hold 54 percent of combined company and TUI Travel shareholders the remaining 46 percent.
“Significant operational and financial benefits are expected by the vertical integration which enables further efficiency gains and growth owing to a new group structure,” TUI AG Supervisory Board Chairman Klaus Mangold said in the statement.
The new company will be listed on the London Stock Exchange, with a secondary quotation on Germany’s market, the companies said. TUI Travel shareholders, including TUI AG, will receive a second interim dividend of 20.5 pence per TUI Travel share.
To contact the reporter on this story: Tom Lavell in Frankfurt at email@example.com To contact the editors responsible for this story: James Boxell at firstname.lastname@example.org.