Thomas Cook’s fortunes have been in the unintended hands of Lufthansa for weeks. Lufthansa had made a bid for the Thomas Cook fleet, but everything seems to have stalled.
Thomas Cook is looking for more cash and another bank bailout, but that’s now become conditional on the airline part being sold.
The Thomas Group share price was valued at 0.0p by ratings agencies after warnings of a disastrous summer season for 2019. The company assets were considered little more than worthless because of its vast debt.
On top of that Lufthansa’s restructure of Eurowings which has come out of much the same pressures being faced by Thomas Cook – over capacity and costs, has dampened their enthusiasm.
However they haven’t withdrawn. I suspect – because it’s what any strategist would do, they’re waiting for Thomas Cook to get so desperate they give it away for much less, or they go under and Lufthansa picks up what it can at rock bottom prices.
Thomas Cook shares are actually trading at 13.5p – but even that is in effect worthless – the Thomas Cook Group looks like it’s on a high road to nowhere and eventual oblivion. Lufthansa I believe, is just waiting it out, hoping to pick up Condor for next to nothing.