China, US travel platforms team to expand global cooperation


Shanghai Group Limited, China’s largest online travel agency, announced a strategic partnership with TripAdvisor Inc. to expand global cooperation, including a joint venture, global content agreements and a governance agreement.
According to a press release from Group Thursday, Ctrip Investment Holding Ltd., a subsidiary of Group, has entered into a joint venture with TripAdvisor’s subsidiary TripAdvisor Singapore Private Limited. Group will be the majority shareholder of the new joint venture entity and will contribute cash and market expertise. TripAdvisor will own 40 percent of the joint venture and will contribute a long-term exclusive brand and content license and other assets of its China business.
Both companies have agreed to share inventories in travel categories at the joint venture level. The joint venture will operate globally as TripAdvisor China, according to the press release.
Meanwhile, the two have entered into global content agreements providing for the distribution of selected TripAdvisor content on major Group brands, including, Ctrip, Skyscanner and Qunar. Group and TripAdvisor also entered into a Governance Agreement pursuant to which Group will have a nomination right for one TripAdvisor, Inc. Board seat commencing upon the relevant regulatory bodies’ approvals of the transaction.
“We are pleased to announce this strategic partnership with Group to expand TripAdvisor’s global reach and also help outbound Chinese travelers plan more meaningful trips,” said Stephen Kaufer, president and chief executive officer, TripAdvisor. “China is one of the largest and fastest-growing travel markets in the world. Group, with its established brands and travel market leadership, is the perfect partner to help us achieve our long-term goals in the region,” Kaufer said.—Xinhua

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