Condor attracts potential suitors after Thomas Cook collapse

Jill Petzinger
Jill Petzinger, Germany Correspondent, Yahoo Finance UK
An Airbus A320 of Condor Airlines lands at the airport in Hamburg, Germany. Photo: Fabian Bimmer/Reuters

Condor, the German holiday airline that belonged to the now-bankrupt Thomas Cook, said on Tuesday that it was attracting a significant amount of takeover interest.

When Thomas Cook collapsed in September, the German government stepped in with a €380m (£325m, $418m) bridging loan to keep Condor afloat. The Frankfurt-based airline, which was founded in 1956 and flies some 8 million passengers a year, immediately announced it was on the lookout for a new owner.

Today, Condor said in a statement to Reuters that “a structured bidding process shows a high level of interest from strategic and financial investors in a takeover.”

READ MORE: Germany throws Thomas Cook-owned Condor a €380m lifeline

The airline, which employs 5,000 staff, is bucking the financial woes that laid low its parent company. It said earnings before interest in tax had risen by about one-third to €57m, in the financial year ending September, with turnover rising 6% to €1.7bn.

"We are a financially healthy and profitable company," said Condor CEO Ralf Teckentrup.

German customers have been hurt by the Thomas Cook collapse, as Thomas Cook Germany shut down simultaneously in September.

This month, the company said it had cancelled all trips from 2020, including those booked with Neckermann Reisen, Öger Tours, Bucher Reisen, and Air Marin. It said that fully compensating customers might not be possible as the company was only insured up to €110m — reportedly claims totalling over €250m have already been submitted.