Priceline is increasing its stake in Chinese OTA Ctrip with a USD250m investment. The news comes just days after Expedia announced it was selling its 62% stake in another Chinese OTA, eLong, to Ctrip, the local market leader.
”Ctrip continues to be a very important partner for The Priceline Group in China, and we look forward to continuing to build upon that partnership,” said Priceline Chief Executive Darren Huston. “We consider Ctrip a market leader in China and we’re investing in a company and a team that we believe fits well with our long-term view of China as a market and the Chinese people as global travelers.”
Under the existing commercial partnership, Priceline’s Booking.com hotel-booking site advertises Ctrip’s inventory of hotels in China. Ctrip, meanwhile, is able to offer its users a wider array of deals from Priceline’s platforms, including Booking.com, Agoda.com for smaller hotels, OpenTable for restaurants and rentalcars.com. The companies on Tuesday said they would continue cross-promotion between brands.
Last week, Expedia Inc. sold its 62.4% majority stake in Chinese mobile and online travel service eLong Inc. to a group of buyers that included Ctrip.
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