Traveling – badly missed in Corona times – is becoming easier again. The tourism group Tui is also feeling this: Customers catch up on what they have missed.
The travel company Tui, which was supported by the state in the pandemic, wants to further increase its financial leeway. The company announced on Wednesday that it plans to issue new shares for 1.1 billion euros.
The Russian investor Alexej Mordaschow, who currently holds 32 percent of the shares, wants to participate in the move and keep his stake constant. At the same time, the Hanover-based company reported an improved booking situation: The confidence of holidaymakers in European travel destinations is returning.
“With the capital increase, we come a big step closer to our goal of quickly repaying the state loans,” said CEO Fritz Joussen. Tui wants to use the money to repay the loan of 375 million euros granted by the state-owned KfW bank. In addition, bank debts are to be reduced.
A silent participation and convertible bond from the federal government totaling around 1.2 billion euros are not affected by the move. In addition, the credit line granted by KfW remains in place for a little more than three billion euros in order to be able to react flexibly to the further development of the pandemic. Tui had already increased the capital by 500 million euros in January.
The company said that 5.2 million trips had been booked for this summer. “In the last few weeks in particular, there has been a strong upward trend.” The demand for destinations in Germany and the Netherlands is higher than in the summer of 2019 before the pandemic.
For the coming winter, Tui is planning 60 to 80 percent of the normal program, according to its own information. Popular winter travel destinations are the Canary Islands, mainland Spain, Egypt and Cape Verde. For short and medium-haul destinations in winter, the travel restrictions have largely been lifted. The vaccination rate in the EU and Great Britain is high. “Therefore, a further increase in international travel can be expected this winter.” A slower recovery is assumed for long-haul destinations.
Tui also called the number of 1.6 million bookings for the summer of 2022, so far, “very encouraging”. “The demand is there. Wherever government travel restrictions have been lifted, we immediately see the rapid return of business, catch-up effects and higher sales for customers for their trips. “
Jane Stock is a technology author, who has written for 24 Hours World. She writes about the latest in technology news and trends, and is always on the lookout for new and innovative ways to improve his audience’s experience.
