Donkey mother how to consolidate their market position?

Le Yan

The "First Financial Daily" learned yesterday that an ass mother who has been maintaining capital independence with various OTAs (online travel agencies) is negotiating with three investors and plans to introduce a strategic investor in the near future, accounting for no more than 20% of the shares, Pave the way for the future market.

Previously, Ctrip and where to go for the acquisition of rumored still uproar, and now there are rumors that Ctrip plans to exchange shares through the exchange transaction to acquire shares of eLong, eLong's valuation of 800 million to 1 billion US dollars between. At the same time, Alibaba is also eternal dragon. Ctrip dominated the world wanton mergers and acquisitions, and donkey mother the advantages of such market segments OTA is looking for capital partners to consolidate their market position.

The industry believes that the OTA market has changed from unipolar competition between Ctrip and eLong a few years ago to the multipolar competition that many small and medium-sized OTAs have joined. In the future, the OTA capital mock will be upgraded.

Donkey mother to find capital "backing"

Yesterday, "First Financial Daily" reporter learned from the insiders learned that donkey mother is discussing with three investors stake in shares planned to be identified within this month, one of the shares should not exceed 20% share, to help donkey mother development line Business up and down because the ideal of founder Hong Qinghua is to build Donkey Mother into a successful large O2O (online and offline) operations group. The long-term significance of donkey mother's intention to introduce strategic investors this time is to complete the listing plan in the future.

Although it is not yet clear exactly which strategic investors, but most likely rumors are unbelievable travel. UTS Travel Board announced in June this year that it is planning major issues. And on July 3, 2014, UTS Travel Board of Directors considered and approved the "Proposal of the Company in Planning Major Asset Reorganization Matters".

According to insiders revealed that donkey mother introduced the strategic investor is to strengthen the future online and offline cooperation, then the main line of business UTS tourism is indeed very complementary. UTS Travel also said that the future does not rule out the acquisition or cooperation based on its own electricity supplier construction considerations.

"Regardless of which stock donkey mother, the donkey mother is looking for capital backing .By now the capital cooperation between BAT and OTA more and more frequently, Ctrip began large-scale acquisition of related industrial chain enterprises from the end of last year, which are relatively isolated Donkey mother feel the crisis more, especially in the same business is also the same ticket business Ctrip shares, donkey mother's sense of crisis more intense.Therefore, we must find the right capital partners to their own overweight, of course, for its Paving the way for the future. "Brigade Consulting chief analyst Wei Changren analysis.

OTA capital melee or change the market pattern

Compared to donkey mother is very sure to introduce strategic investors, Ctrip, Alibaba bid eLong things are complicated and confusing.

Rumor has it that Ctrip plans to acquire shares of its competitor Electosaurus through a convertible deal, valuing eLong at between $ 800 million and $ 1 billion, meaning Ctrip plans to acquire Expedia's eLong 65% stake. At the same time, the case implies another possibility - acquired by Alibaba eLong. In the past six months, Alibaba's M & A transactions involved in the Internet, IT, cultural media, logistics and other industries, which have disclosed turnover of up to 26.8 billion yuan, while online travel has been one of its focus.

In response to the rumor, Expedia denied that it also announced the acquisition of Australian online travel company Wotif.com for A $ 703 million. Wotif's services mainly include Asia and the Pan-Pacific region. The deal is expected to be officially completed in the fourth quarter of this year. The move appears to be Expedia's confidence in showing its expansion in the global online travel market.

ELong said that for Ctrip's acquisition rumors, please refer to its major shareholder Expedia's argument. Close source said, Expedia there is a great possibility that the privatization of eLong. Ctrip is put on a consistent "no response" gesture.

A source close to people said that since the end of last year to start a series of acquisitions, the purpose of Ctrip is through the capital operation of its competitors one by one, "destroy." The eLong as a "millennium second child", its format coincides with Ctrip partially. If you really can acquire eLong, Ctrip not only an old rival, but also expanded its business. If so, where to go is not a good thing, rumors where Ctrip and capital cooperation negotiations stalled, and Ctrip and eLong join hands to some extent will form a certain market monopoly, of course, will increase the donkey mother The threat from such independent players is one of the reasons why donkeys and mums are eager to introduce strategic investors to their own growth.

"However, if it is Alibaba to take off the eLong, the market will be completely different pattern, which will threaten Ctrip. Taobao travel short board lies in the hotel, and the hotel is the advantage of eLong, once incorporated into the eLong, then strengthen the Taobao Travel business ability.In fact, the possibility of each stock eLong is equal, the key is to see the idea of ​​Expedia.Whether to sell as long as the eLong really be sold, then the OTA market structure will have significant changes. "Wei Changren Pointed out.