Share price surge in online travel OTA or reproduce acquisition

Absrtact: My lover is a hero of the heroes, one day he will step on the seven-color cloud to marry me, I guessed the beginning, but I can not guess the end. The movie "Dahua Tour" in this sentence many people familiar with the classic lines, used to describe the domestic online tourism enterprises

"My Lover is a hero of the heroes, one day he will step on the seven-color cloud to marry me, I guessed the beginning, but I guess this end." "The Movie" Dahua Tour "in this sentence many people familiar with the classic lines, used to describe the relationship between domestic online tourism companies seems to be very appropriate.

Ctrip in the first half of this year has to take a stake in the form of "marry" the industry direct competition with the same process, passers-by, Ctrip is very likely to "marry" another once the enemy-art dragon. Because of the sudden rise in the price of Art dragon, the industry has predicted that it may be the capital level of major issues to adjust the news was leaked, many people in the industry will be the goal of the Art Dragon Network and where to go to the network, OTA (online tourism enterprises) between the abrupt turn the enemy as friends of the plot is still likely to continue to play.

Share prices soar in online travel

Recently, the U.S. stocks in the online tourism sector rose like a rainbow, which the art dragon net in just two weeks, soaring 64%, this week a more than 22%. Analysts said that the wave of online tourism hype, in addition to competition with the Giants, and thus promote the arrival of online tourism and mergers and acquisitions, the arrival of the traditional tourism peak season, but also for the strengthening of the concept of a certain market sentiment.

For the past 52 weeks, the unit has had a minimum of $12.69 trillion, up to $23.81 trillion. As of Monday, the shares closed at $21.94 trillion, up 22% from the closing price of Friday, now worth 620 million dollars.

In the art long net short rise, Ctrip also launched a high innovation of the tour. Ctrip a 64.04-dollar report this week, up from 5.36% on the previous trading day, up to $65.20 trillion, the highest share price since the company's listing. At the closing price of Monday, the unit currently has a market value of $8.71 billion.

The high innovation in Ctrip's share price has directly boosted the rise of Chinese-funded online travel stocks traded in New York. At the same time, it has risen to its highest level since April. The Bloomberg-US 55 index rose 0.2% to 105.96% in New York, the highest level this year, rising 6.9% per cent in the second quarter, the largest since September 2013.

Some analysts said Deutsche Bank's report on China's booming tourism market has boosted industry-related stocks to a large extent, and that the price competition for Ctrip and the art Dragon is not expected to worsen, which is also good for both sides.

Online OTA or reproduced acquisition

Compared to the rapid growth of Ctrip, where to go, art Dragon net stock prices recently rose more and more concerned by the industry. Although the art of the network in just two weeks, the stock price rose 64%, but it is surprising that the art long network has not been good news, and by its "hotel strategy" drag, Yi Long network has been a loss for two consecutive years.

According to this, there is speculation in the industry, Yi Long network of abnormal rise may be its capital level of major issues to adjust the message was leaked, and may have their own enemies Ctrip capital cooperation.

In fact, Ctrip and the cooperation of the Dragon is not only recently happened, and early in the art of long network and the same way network cooperation after the fall, there has been rumors that the art of long network will be Ctrip acquisition. From the current market share, with the art of the same model of Ctrip, if you can through capital mergers and acquisitions, such as the way the former competitors into partners, you can correspondingly reduce the adverse market competition.

The main shareholder of Yi Long Network is the world's largest online travel company Expedia. According to media reports, an online travel company executive, who declined to be named, said Expedia had a clear goal of making more than half of the company's total revenue from international business. But the Chinese market layout of the Art dragon, Cool News Network, to the network three pieces of the performance is not ideal. Expedia has recently been frantically merging around the world. In the current Chinese market, there are ctrip and internet companies that are attractive to Expedia.

Industry insiders said, from the current market situation, art Dragon net most likely outcome is Ctrip "incorporation." Expedia will use the Art Dragon Net shares in exchange for Ctrip shares, if the operation is successful, Ctrip in the hotel business will sit in the industry leading position. and Ctrip and the same Cheng, art dragon occupy the Chinese OTA market about 70% of the market share, these three joint will have a huge impact on the market pattern, where the network will be plunged into the Charybdis situation. With Ctrip shares, Expedia's "internationalization strategy" will be more operational.

However, there are also the industry that Ctrip and the business overlap high, complementary poor, it seems to go where more appropriate.

In this respect, there are insiders pointed out, where to go to the network of airline ticket business market share has reached the industry-leading level, the financial results of the high investment from the hotel business expansion. If the art of the network and where to reach a network of cooperation, where to go network of low-end hotel resources and art long network of high-end business hotel resources can be complementary, to where the network platform model can also be for Expedia International Hotel to provide better sales channels.

In addition to the above two possibilities, the industry analysis in the art of the poor performance of the current, its acquisition by Tencent is also quite high probability.

In fact, as early as 2011, Tencent has contributed 84 million U.S. dollars to subscribe to the arts Dragon 60.3 billion common shares and 5.04 million "high voting power unit" can be 15 votes per share, and finally have 15.7% of the equity and 15.1% voting rights.

However, for the authenticity of rumors all parties are tight-lipped, for the unusual changes in stock prices and outside rumors of capital cooperation matters, art dragon Net official said recently, there is no external disclosure of information. Ctrip's publicist told reporters yesterday that he had no comment on the matter.

Passers-Bull announced Liang Jianzhang as director of the company yesterday

Even Ctrip and the art of cooperation, such things are not surprising, because in the first half of this year, the domestic OTA occurred several times similar script. Occupy the domestic online tourism market the largest share of Ctrip in the first half of this year has "incorporated" the same route and the cattle, online tourism enterprises to infiltrate the phenomenon more and more frequently. Just yesterday, the pedestrian travel network announced the CEO Liang Jianzhang to become its company director.

Ctrip has bought a class A common stock of 15 million US dollars by private placement during the initial public offering of cattle in transit. Through this investment, the passers-by gave Ctrip a right to designate and appoint a Ctrip person as a new director of the Tourism network.

Udunder, CEO of the Tourism network, said: "Liang Jianzhang in the network tourism industry's rich experience on the benefits of passers-by can not be estimated." ”

In order to stabilize their market position, in the first half of this year, Ctrip also continued to enter into alliances. April 10 this year, with Cheng announced the signing of strategic cooperation Agreement with the Arts Dragon, April 29, Ctrip announced that will be 200 million U.S. dollars to join the network, the tourist attractions tickets to pay the business all access to the same process. Subsequently, Ctrip announced on April 27 with the way cattle network reached an agreement, will be in transit cattle IPO completed by the price of a 15 million-dollar stake in the purchase of cattle.

According to the statistics from the survey, the first quarter of this year, the domestic online tourism market transaction size of 56.42 billion yuan, an increase of 16.9%, the chain down 0.8%. Among them, Ctrip to 51.9% of the share of stability first.

Industry insiders said that within the foreseeable 3-5 years, under the impetus of capital, the online tourism industry will be more clear camp. Today's online tourism industry, who can really control upstream resources, who is the last winner.