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Thomas Cook Group Plc shares soared for the third day in a row after the Turkish tourism operator that took an 8.01% stake in the struggling UK travel company said it has “more value and potential” than recent predictions suggest.
The shares surged 23% to 8.60 pence at 12:21 p.m. in London. They have increased 92% since investor Neset Kockar disclosed the stake on Wednesday.
“We believe Thomas Cook has more value and potential than what is being discussed recently, particularly with the skill set and complementary capabilities Anex Tour shall put forward,” Kockar said in an emailed statement on Friday, referring to his own travel company.
The Turkish investor also expressed a desire to engage with other shareholders. China’s Fosun Group has initiated a rescue plan that is expected to heavily dilute the stock.
Thomas Cook declined to comment on Kockar’s statement.
The shares plunged July 12 after Fosun announced that it was in talks to take part in a 750 million-pound ($909 million) financing project. The transaction would give the Chinese investor control through a debt-for-equity swap and creation of new shares.
The stock has fallen 90% in the past year, even after the recent rally.
Kockar, born in 1973, founded Anex Tour in 1996, according to a biography of him on the World Tourism Forum website. The company operates in Russia, Belarus, Ukraine, Kazakhstan, and Germany, according to the company’s website.
©2019 Bloomberg L.P.