May 21 Canada's Fairfax Financial Holdings Ltd
will buy Thomas Cook Group Plc's 77 percent
stake in its India operations for about $150 million, as the UK
holiday firm continues to pay down its debt.
Property and casualty insurer Fairfax's unit Fairbridge
Capital will pay 50 rupees per share of Thomas Cook (India) Ltd
for a total of 8,174 million rupees.
The offer represents an 18 percent discount to Thomas Cook
India's closing price of 61.05 rupees on Monday on the National
In February, Thomas Cook confirmed that it was seeking a
buyer for its stake in its Indian unit in an effort to reduce
its 890 million pounds debt.
Fairfax's CEO Prem Watsa, a value investor whose approach
and acumen is sometimes compared to Warren Buffett's, said
Madhavan Menon will continue as Thomas Cook India's CEO.
Watsa, an Indian-born Canadian investor who took control of
Fairfax in 1985, also sits on the board of Research in Motion
and holds a 19 percent interest in pulp and
paper company Abitibibowater.