Mayhem in the travel industry! As “Handelsblatt” wrote, there must be a merger between DER Touristik from Cologne and FTI Touristik from Munich. Negotiations are already at an advanced stage.
The companies did not comment when asked by Blick. Says the FTI: “We do not comment on market speculation or rumors.” This is certainly not a denial.
According to “Handelsblatt”, the condition of the agreement is to have a haircut at the FTI. During the Corona crisis, the FTI sought financial support from the German government and received guarantees, silent contributions and loans totaling around 500 million euros. Therefore, a haircut will be, at least in part, at the expense of German taxpayers. It is unclear how much of the 500 million will go to the federal government and FTI holders. But in total, FTI Group is said to be under a billion-euro debt load.
Also, it is still unclear whether the merger of the two companies will be approved by the antitrust authorities. DER Touristik is the second largest tour operator in Europe and FTI Touristik is the third largest tour operator. DER Touristik had good sales of two billion euros in 2021. FTI Touristik had sales of approximately 1.5 billion euros in 2021. These sales figures are likely to increase significantly in 2022. It remains to see if profit is made as a result.
What does this have to do with Switzerland?
No comment on a possible merger in Switzerland either. Such an approach will have an impact here as well. DER Touristik is the parent company of Zurich-based DER Touristik Suisse. This includes the brands Kuoni and Helvetic Tours and is the parent company of several destination specialists such as Manta Reisen, Kontiki and Private Safaris. The company also owns around 70 travel agencies throughout Switzerland. DER Touristik Suisse employs approximately 900 people (670 full-time positions).
FTI Group is represented on the Swiss market by Basel-based FTI Touristik AG and also has a tour operator branch in Dietlikon ZH. FTI does not have its own travel agency in this country. Around 170 people work at FTI across Switzerland.
Also interesting in this context: FTI Group is majority owned by the Sawiris family. Known in Switzerland for his commitment to Andermatt, Samih Sawiris increased his stake in FTI from 33.7 percent to 75.1 percent in 2020. This capital increase was a prerequisite for the Federal Republic’s support measures.