HNA Group withdraws FRAM Group acquisition offer
HNA Group withdrew the offer to acquire FRAM Group, made on October 12, and sources say that the Chinese conglomerate will not make another bid.
HNA Group withdrew the offer to acquire FRAM Group, made on October 12, and sources say that the Chinese conglomerate will not make another bid for the French tour operator.
FRAM Group may have to file for bankruptcy. The decision of whether or not to continue operations is pending as it awaits other acquisition offers, according to media reports.
Established in 1949, Toulouse-based FRAM Group is one of the largest tour operators and well-known brands in France with over 50 agencies and 560 employees.
It serviced 50,000 clients this summer alone and has established a strong presence in the Mediterranean coast, but it is still reeling from the effects of the Arab Spring movement. In June it announced it would accept investments from external parties to solve its financial difficulties.
Previously HNA Group and its French shareholder Selectour Afat presented FRAM Group with a firm acquisition offer which sources said was up to 40 million euros. HNA Group’s offer had been cleared by an auditing firm and passed on to FRAM Group on October 14, according to media reports.(Translation by David)