Thomas Cook turns down £400m cash injection

Troubled tour operator Thomas Cook has rejected a £400m cash injection, according to the Financial Times.

The paper says a group led by Terry Fisher, formerly of Airtours and Clive Jacobs and founder of Holiday Autos, put together the offer with the support of Thomas Cook's second biggest shareholder Invesco.

If accepted it would have given the group around a two thirds holding.

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Thomas Cook's Chairman Frank Meysman, however, is said to have dismissed the offer although an unnamed source suggests the company may explore the deal further.

It's fair to say Thomas Cook is having a very tough time. The shares have fallen a painful 86% in the past 12 months after the company revealed it would struggle to meet debt payments in July last year.

Still without a Chief Executive and trying to sell assets to pay down debt, the news of interest in ownership had pushed the shares 3.5% higher by 10:27 on Friday morning.

BS