Are Kier (LON:KIE) and Thomas Cook (LON:TCG) share prices on the road to recovery?
Aaran Fronda | Financial Writer, London | 2019-08-05T12:25:16+0100. For a while investors have speculated that Kier Group would follow in the footsteps of its rival Carillion which collapsed in January last year in what was the largest ever trading liquidation in the UK. Similar sentiment has followed British tour operator Thomas Cook since May after its stock was branded worthless by Citigroup analysts. However, in recent months both companies look like they may turn things around, with Kier unveiling plans to strengthen its balance sheet by offloading its housing business, while Thomas Cook announced it had started talks with Beijing-based Fosun International regarding a £750 million rescue deal. Last week, the company gave investors some good news after unveiling plans to sell its housing business, valued at £110 million, to reduce its debt. According to a report by the Mail on Sunday, the struggling tour operator unveiled plans to boost growth by focusing on Chinese tourists looking to visit Europe during a presentation to debt holders responsible for approving the Fosun deal. As part of its deal, Fosun also told bond holders that it plans to increase Thomas Cook’s winter sports and city break offerings, as well as targeting millennials by selling music festival and adventure packages.