ITC Luxury Travel splashes out on key acquisition

CHESHIRE-based tour operator ITC Luxury Travel has added nearly £30m to its annual income with the acquisition of four holdiday brands.

The Chester company has bought Western & Oriental’s four travel businesses – Rainbow Tours, Regent Holidays, Villa Select and Western & Oriental for an indisclosed sum.

The combined turnover of the enlarged ITC Luxury Travel Group will now exceed £75m – up from £47m last year. Western & Oriental has offices in London , Birmingham and Bristol and has 75 staff. Its previous owner Raj Kumar has exited the business.

The deal will more than double ITC’s profits to £3.5m.

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Jennifer Atkinson, chief executive of ITC said: “Since the MBO last year we have been looking at a number of opportunities and it’s great that we have been able to deliver one.

“I believe this makes us one of the largest independent luxury tour operators in the country, and I am very excited to welcome our new colleagues into ITC. We have had our best ever year so have funded the deal through our profits and have not had to increase our debt.”

She said the deal adds complementary products and services, particularly in specialist tours, alongside the luxury beach offer.

ITC will now operate eight brands including ITC Sports Travel, ITC Luxury Travel and Horse Racing Abroad, alongside Chester city centre travel agent, Deva Travel.

Following the acquisition the combined turnover of the enlarged ITC Luxury Travel Group will top £75m and the group will generate proforma profit of circa £3.5m. The news comes off the back of ITC Luxury Travel’s most successful year, which saw turnover of £47m and a profit of £1.7m.

Last August Mrs Atkinson completed a management buy-out backed by former chief executive of FTSE 100 outsourcing group Capita Paul Pindar.

She added: “Over the coming months we will be working together as a group to look at how we can best create and optimise the opportunities of being the UK’s largest independent one stop luxury and tailor-made travel company.

“This is very much an exciting new chapter in ITC’s long and successful business history.”

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