A new management shakeup in the top ranks of eLong (Nasdaq: LONG) didn’t excite investors too much, but hints that something is happening behind the scenes at this online travel laggard controlled by US giant Expedia (Nasdaq: EXPE). The shakeup has seen eLong’s CFO and COO both resign, though the company’s CEO is staying in his current position, at least for now. Rumors circulated earlier this year that a buyout could be coming for eLong from sector leader Ctrip (Nasdaq: CTRP), though such a deal never came. Read Full Post…
Tag Archives: Qunar
Ctrip, Qunar Go Their Separate Ways
What nearly became a blockbuster marriage between China’s 2 leading online travel sites has instead ended in divorce, with word that industry leader Ctrip (Nasdaq: CTRP) has formally yanked its hotel listings from the site of the second largest player Qunar (Nasdaq: QUNR). My use of the divorce metaphor here isn’t completely appropriate, since the 2 companies came close but never formally consummated a marriage. Still, the final split in this tie-up is probably the best ending for everyone, since it would have been a rocky road even if the 2 companies had agreed to merge their operations. Read Full Post…
News Digest: September 11, 2014
The following press releases and media reports about Chinese companies were carried on September 11. To view a full article or story, click on the link next to the headline.
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- 3 Domestic Cement Firms Probed By NDRC For Antitrust Violations (Chinese article)
- Ctrip (Nasdaq: CTRP) Removes Hotel Products From Qunar (Nasdaq: QUNR) (English article)
- Xiaomi Invests In P2P Lending Platform Jimu Box (Chinese article)
- Apple’s (Nasdaq: AAPL) iPhone 6 To Go On Sale In China On September 26 (Chinese article)
- Phoenix New Media (NYSE: FENG) Makes Strategic Investment In News Feed App Yidian (PRNewswire)
Ctrip Tries Cruising, Starwood Bulllish On Hainan
China’s broader domestic travel market may be quickly getting saturated, but that hasn’t stopped leading online travel agent Ctrip (Nasdaq: CTRP) and global hotel giant Starwood (NYSE: HOT) from seeking out new investment opportunities in more niche-focused areas. News involving the former will see Ctrip purchase a cruise liner from global giant Royal Caribbean (NYSE: RCL) to capitalize on the rising popularity for ocean cruises among Chinese vacationers. The latter news bit will see Starwood, owner of the Westin and Sheraton hotel brands, open an ambitious 4 new resorts on the tourist-friendly Hainan island over the next 5 years. Read Full Post…
Profit Leaps At 58.com, Loss Soars At Qunar
A look at the latest earnings from online travel agent Qunar (Nasdaq: QUNR) and online classified ad site 58.com (NYSE: WUBA) made me feel like I was living in a parallel universe where everything was the opposite of what it should be. Qunar, China’s second largest online travel agent backed by leading search engine Baidu (Nasdaq: BIDU), saw its loss soar 10-fold as its costs grew far faster than revenue. And yet investors welcomed the results, bidding up the company’s stock by 6 percent. Conversely, the profitable 58.com saw its earnings more than double, and yet it’s stock tanked nearly 8 percent on the report. Read Full Post…
News Digest: August 22, 2014
The following press releases and media reports about Chinese companies were carried on August 22. To view a full article or story, click on the link next to the headline.
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- Commerce Ministry Re-Examines E-Commerce 7-Day Return Policy (Chinese article)
- China Minsheng Investment To Formally Launch In Shanghai (Chinese article)
- Qunar (Nasdaq: QUNR) Reports Q2 Financial Results (Globe Newswire)
- Second Group Of Private Bank Licenses To Be Released, Fosun Among Winners (Chinese article)
- China Makes Queries To South Korea In Qualcomm (Nasdaq: QCOM) Anti-Trust Probe (Chinese article)
- Latest calendar for Q2 earnings reports (Earnings calendar)
Priceline Starts Down Troubled Road With Ctrip
I’m normally quite upbeat on leading online travel site Ctrip (Nasdaq: CTRP), but I really don’t understand the logic behind its new decision to sell 10 percent of itself to US peer Priceline (Nasdaq: PCLN). On the surface, the deal looks reasonable enough, pairing Ctrip’s strength in China with Priceline’s in the US and other western markets. But anyone familiar with Ctrip knows the company is fiercely independent and doesn’t work very well with other strategic partners. What’s more, this deal will put even more money into Ctrip’s already bulging cash pot, giving it more funds than it needs.
iDreamSky Eyes NY, eLong Hedges
Separate reports about a new IPO by one company and potential exit from the Nasdaq by another are reflecting the mixed feelings that Chinese firms have for New York, where public listings can bring both prestige and also headaches. In the new listing category, media are reporting that yet another mobile game developer called iDreamSky has just made its first public filing for a New York IPO to raise up to $110 million. Meantime, other media are reporting that veteran online travel service eLong (Nasdaq: LONG) could be gearing up for a buy-out by much larger rival Ctrip (Nasdaq: CTRP). Read Full Post…
Investors Favor Online Travel With Tujia Funding
Online travel is quickly taking on a new cult-like status among investors, with word of a major new funding for vacation rental site Tujia. This latest fund-raising frenzy in online travel looks very similar to what happened in group buying about 4 years ago, when investors pumped billions of dollars into a wide range of money-losing start-ups. Internet watchers will know that many of those companies later went bust, raising the prospect that a similar fate could be waiting for the online travel sector. Read Full Post…
Earnings Evaporate At Dangdang, Qunar
We’ll finish out this peak earnings week for US-listed Chinese stocks with a look at fading e-commerce firm Dangdang (NYSE: DANG) and online travel site Qunar (Nasdaq: QUNR), which have both just posted profit trends that look quite gloomy. But while investors forgave the young Qunar for posting a large net loss, they were less generous towards the older Dangdang, whose profits nearly evaporated after recently emerging from 2 years in the red. Read Full Post…
News Digest: May 16, 2014
The following press releases and media reports about Chinese companies were carried on May 16. To view a full article or story, click on the link next to the headline.
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- Intel (Nasdaq: INTC) Eyes Strategic Stake In China Chipmaker Rockchip (Chinese article)
- JD.com Launches VNO Service, Includes Free E-commerce Data (Chinese article)
- Qunar (Nasdaq: QUNR) Reports Q1 Financial Results (Globe Newswire)
- Dianping Invests 50 Mln Yuan In Food Ordering App ‘Dazuiba’ (English article)
- Baidu (Nasdaq: BIDU) Sues Sogou For Unfair Competition, Seeks 1 Mln Yuan (Chinese article)
- Latest calendar for Q1 earnings reports (Earnings calendar)
