United Kingdom
United States
Asia Pacific
Expedia sells stake in Chinese travel firm eLong
US travel giant Expedia has offloaded its 62.4% stake in Chinese online travel agent eLong.
Expedia said it raised US$671 million from the sale, to a group of Chinese companies including rival Chinese travel firm Ctrip.
Ctrip separately said it had acquired a 37.6% stake for about $400 million.
The deal ends Expedia’s decade long investment in eLong, a company which continues to underperform, weighing down on Expedia’s profits.
It is being seen as a positive step for Expedia after the company’s shares rose sharply on the news.
In recent times eLong has been squeezed out as China’s big two, Ctrip and Qunar, fight for dominance in the Chinese market.
As part of the deal, both Ctrip and Expedia "agreed to cooperate with each other to allow their respective customers to benefit from certain travel product offerings for specified geographic markets."
Expedia remains bullish on the China market and is not about to pull out altogether.
"Expedia’s longstanding commitment to and focus on the opportunity in China, including domestic and international inbound/outbound travel, has not changed and our commercial relationship with eLong remains in place," the OTA said.
TravelMole Editorial Team
Editor for TravelMole North America and Asia pacific regions. Ray is a highly experienced (15+ years) skilled journalist and editor predominantly in travel, hospitality and lifestyle working with a huge number of major market-leading brands. He has also cover in-depth news, interviews and features in general business, finance, tech and geopolitical issues for a select few major news outlets and publishers.
Tony from Gatto’s Pizza on Columbus’s Unique Pizza Trail
Sophia Hyder Hock on Global Social Inclusion in Tourism
Sustainable Tourism: Don Welsh on Community Values and Global Collaboration
Jane Cunningham: Enhancing European Engagement in Tourism
Kristin Dunne: Navigating Destination Strategy
Revolutionizing Mobile Connectivity: Boris Bijlstra on HUBBY eSIM
Capturing Glasgow’s Vibrancy: An Interview with Susan Deighan, Chief Executive of Glasgow Life
Lebua Hotel & Resorts: Rajan Khurana on Hospitality and Bangkok’s Charms
Sustainable Tourism and Growth: Insights from Chiravadee Khunsub from Tourism Authority of Thailand
Revolutionizing Travel: SmartSIM USA’s Dale Takio Unveils the Power of E Sims
TravelMole Interview with Hishan Singhawansa, Deputy CEO of Cinnamon Hotels & Resorts, Sri Lanka
Unveiling the Essence of Magari Tours: A Dive into Authentic Italian Experiences
EU airports bring back 100ml liquid rule
British Airways passengers endure 11-hour 'flight to nowhere'
CLIA: Anti-cruise demos could cause itinerary changes in Europe
Co-pilot faints, easyJet flight issues ‘red alert’
Gatwick braces for strike