Optimistic tourism companies swap shares
Print Edition
HOPING to cash in on the growing cross-border tourism market, Ctrip.com and Shenzhen-listed Utour have entered into a 2.6 billion yuan (US$397 million) share-swap deal, the companies said yesterday.
Utour issued a private placement of 2.6 billion yuan to investors including Ctrip and acquired a stake of Huayuan Tours, a subsidiary of Ctrip, which plans to increase its stake in Utour within 12 months, both firms said in statements yesterday.
Huayuan Tours focuses on outbound tourism, one of the hottest segments in the Chinese market thanks to improved consumption capacity and relaxed visa policies.
Outbound tourism is also a key part of Ctrip’s business, accounting for 50 percent of its total volume, said Chief Executive James Liang, adding that the segment still has great untapped potential, as only 10 percent of Chinese people have passports.
China’s economic transformation, which focuses on consumption, and rising purchasing power are expected to fuel the Chinese tourism market, industry insiders said.
Chinese tourists spent US$164.8 billion in 2014, a fourfold jump over 2008, according to the China Tourism Academy.
- About Us
- |
- Terms of Use
- |
-
RSS - |
- Privacy Policy
- |
- Contact Us
- |
- Shanghai Call Center: 962288
- |
- Tip-off hotline: 52920043
- 沪ICP证：沪ICP备05050403号-1
- |
- 互联网新闻信息服务许可证：31120180004
- |
- 网络视听许可证：0909346
- |
- 广播电视节目制作许可证：沪字第354号
- |
- 增值电信业务经营许可证：沪B2-20120012
Copyright © 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.
