Potless package tour operator Thomas Cook is reportedly close to getting another dollop of cash to tide it over the bleak mid-winter period.
According to the London Evening Standard, the troubled FTSE 250 firm will survive though the Christmas period thanks to the support of its banks, which are set to make up to £100m available to the firm in the coming days to keep it afloat and alleviate its cash-flow problems.
The news saw the firm's share price gain 17.49% to 19.21p by 13:37. It has lost 90% on its share price over the past year, equiavlent to 171.29p.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Numis Securities has said: "We believe that Thomas Cook will continue to trade (albeit possibly in a much reduced state) but it is already apparent that damage is being done to its brand reputation. This is a major concern given the extensive use of the Thomas Cook brand name on the high street."
Market competitor TUI Travel also saw its shares rise on the reports.
NR
-
What happens if you can’t pay your tax bill, and what is "Time to Pay"?Millions are due to file their tax return this Friday as the self-assessment deadline closes. Though the nightmare is not over until you pay the taxman what you owe - or face a penalty. But what happens if you can't afford to pay HMRC your tax bill, and what is "Time to Pay"?
-
What does Rachel Reeves’s plan for growth mean for UK investors?Rachel Reeves says she is going “further and faster” to kickstart the UK economy, but investors are unlikely to be persuaded
