FTSE LIVE: Thomas Cook shares dive 40% as it mulls sale to Chinese shareholder; Car dealer Lookers warns; WPP sells Kantar to Bain
- Thomas Cook could be sold to its largest shareholder Fosun as it seeks funds
- Lookers – one of the UK’s biggest car dealers – said profits would be lower
- Ad giant WPP has sealed a deal for its market research arm Kantar
Thomas Cook is in ‘advanced discussions’ with its largest shareholder Fosun over a deal that would effectively hand over the cash-strapped firm to the Chinese firm and pave the way for a breakup of the world’s oldest package holiday company.
‘Shareholders face significant dilution – basically it’s wipe out time,’ says Markets.com analyst Neil Wilson.
And that’s not the only deal being spoken about in the City today. Ad giant WPP has sold a 60 per cent stake in its research business Kantar to American private equity firm Bain Capital.
At the open: The FTSE 100 was in the green at the open, up 0.14 per cent at 7,520.38