Cox and Kings unit makes first acquisition in Australia
The Cox and Kings subsidiary has acquired a site in Australia without disclosing the value of acquisition, the firm said
Mumbai: Cox and Kings Ltd, one of India’s oldest travel agents, on Friday said the school trips division of its London unit has made its first acquisition outside of Europe as a part of a diversification plan.
The Cox and Kings subsidiary has acquired a site in Australia without disclosing the value of acquisition, the company said.
“The new centre, PGL Campaspe Downs, spread over 200 acres, is located one hour north of Melbourne near the town in the state of Victoria. PGL intends to develop the site by upgrading accommodation standards for students and teachers,” the company said in a statement.
The acquisition of the first site in Australia, Campaspse Downs, provides the foundation to roll out the successful European model and break into the Australian residential activity sector with the widest offering of activities, high standards of accommodation and best trained staff, it said.
On 30 September 2012, Mint had reported that Cox and Kings will sell more profitable products, including specialized international school trips, children’s adventure holidays and study tours, in the next fiscal as part of a diversification plan.
Specialized educational trips for age groups of 8-11 and 11-18 are niche products of Holidaybreak.
Parent Cox and Kings is in the leisure business that has an average margin of 20-23%, depending on countries. But camping holidays offer a margin of 60% while education tours have a margin of 70%.
In September 2011, Cox and Kings, through its UK unit Prometheon Holdings (UK) Ltd, had acquired Holidaybreak for £312 million (around Rs.2,673 crore today) in an all-cash transaction, marking the biggest overseas acquisition by an Indian travel company and the ninth acquisition by Cox and Kings.
Holidaybreak is a UK-listed specialist travel company operating in education and activity travel groups. It has operations in the UK, Germany, Switzerland, Austria, Belgium, the Netherlands and Ireland.
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