Apollo Funds to Acquire Uniworld

[Host Jazzbeau]

New article on Cruise Industry News:

Apollo Funds to Acquire The Travel Corporation, Including Uniworld

[Roz]

Quite interesting that the Tollman family is selling its 100+ year old company.  It will be interesting to see what changes Apollo makes. 

[Farang]

Maintenance or enhancement of product delivered when a Private Equity firm acquires a hospitality enterprise is rare. After all, they purchase what they perceive to be an underperforming enterprise (translation - underrealized potential cash flow) and strive to squeeze more cash out of the asset. What is the easiest path to that In hospitality? Reduce operating costs (food quality, staff levels and quality) and reduce investment in capital assets. The "owned" Uniworld fleet is old, cabin sizes are no longer standard and renovation was deferred, blaming covid.

 

The Tollman family isn't selling their 100+ year old company, only the newer capital-equipment intensive division in need of expensive updating. 

 

[Canal archive]

I understand all of the above and this may seem a silly question but has the family actually sold the trading names?

[WanderingTravels]

4 hours ago, Canal archive said:

I understand all of the above and this may seem a silly question but has the family actually sold the trading names?

Yes, the entire business (including IP) is being sold.   The deal will close by the end of the year.

[sharkster77]

11 hours ago, Farang said:

 

 

The Tollman family isn't selling their 100+ year old company, only the newer capital-equipment intensive division in need of expensive updating. 

 

What exactly does this mean?  What about Trafalgar Tours, Brendan Vacations, Insight Tours, etc., that don't have the equipment needs of Uniworld, the Carnation Hotels, etc., for examples.

 

The phrase "newer capital-equipment intensive division" has me befuddled.  I'm obviously not versed in the world of finance!

Edited July 18 by sharkster77

[Caligirl58]

We have friends who are currently on a Uniworld cruise.  They have visited with staff about the aquisition, and the European staff have expressed concerns that they may be replaced with less expensive Asian employees.  It sounds like there is a lot of anxiety right now about how things may change. Hate to see this, as we very much enjoyed our two Uniworld cruises. 

[Roz]

On 7/31/2024 at 12:17 PM, Caligirl58 said:

We have friends who are currently on a Uniworld cruise.  They have visited with staff about the aquisition, and the European staff have expressed concerns that they may be replaced with less expensive Asian employees.  It sounds like there is a lot of anxiety right now about how things may change. Hate to see this, as we very much enjoyed our two Uniworld cruises. 

Do other river cruise lines use employees from Asia? I've only sailed on Uniworld and Tauck, and most of their employees seem to be from Eastern Europe. 

[Caligirl58]

I don't know the answer, as we have only sailed Uniworld.  But our friends told us that the (European) staff on their cruise specifically expressed that concern.  Maybe others know?

 

Edited August 1 by Caligirl58

[Shelagh12]

I’ve sailed twice with Avalon and the staff were mainly from Eastern Europe 

[UDChE89]

On 8/1/2024 at 5:37 PM, Roz said:

Do other river cruise lines use employees from Asia? I've only sailed on Uniworld and Tauck, and most of their employees seem to be from Eastern Europe. 

Yes, other lines do use Asian staff.  My Viva cruise had bar staff that was largely from Myanmar.  They were shocked when I told them I’d actually been there.