Cox & Kings eyes acquisitions; in talks with two global cos

In a bid to acquire a larger footprint and grow its business, travel and tours operator Cox & Kings is eyeing acquisitions and is in talks with two international players, a top company official said.

"We are looking at acquisitions, both domestic and international, to expand our business. We are in talks with a couple of international players for investment," Cox & Kings CFO Anil Khandelwal told PTI here.

Khandelwal, however, declined to give further details of the talks or the identities of the parties.

Domestically, the company, which caters to the top-end market, is betting big on Tier II and III markets for its growth. "There is a huge potential inherent in these destinations and we intend to tap this potential," he said.

The company's performance so far has been good and "in line with our expectations," he said.

Going forward, the company hopes to continue its growth in margin as well as in topline, he said.

Meanwhile, the company has seen an increased foreign investment participation since its listing in 2009 to 24.6 per cent from 18.77 per cent.

Recently, the company has passed a resolution to increase FII stake in it from 24 per cent to 74 per cent for which the Reserve Bank has given its nod.

"The increase in FII stake in the company shows the performance of the company and the commitment of investors in our company. This also reflects our business growth potential," Khandelwal said.

Some of the top FII investors in the company are Merrill Lynch, Goldman Sachs and DNB Nor, among others.

According to a Bombay Stock Exchange filing, Capital Group Companies has increased its stake in Cox & Kings to 10.48 per cent.

Asked if Cox & Kings, present in all important international travel destinations, has been affected by the global economic meltdown, Khandelwal said the company caters to the niche segment and hence, has not been affected by the economic downturn.