China's largest travel site, Ctrip.com International Ltd., is buying travel-search company Skyscanner Ltd. in a deal that values the British company at £ 1.4 billion ($1.74 billion).
Under the terms of the deal, which is expected to close by year's end, Skyscanner's current management would continue to run the company independently.
Founded in 2001 and based in Edinburgh, Skyscanner has about 60 million monthly active users and does most of its business in Europe. Current investors include Sequoia Capital, one of Silicon Valley's largest venture-capital firms, Yahoo Japan Corp. and Malaysian sovereign-wealth fund Khazanah Nasional Bhd.
The deal follows recent investments in U.S.-based tour operators that cater to Chinese travelers, part of Ctrip's international push.
Separately, the online travel company, which this month promoted Jane Jie Sun to chief executive, said Jenny Wenjie Wu has stepped down from the chief strategy officer post but will stay on as a senior consultant.
Ctrip's third-quarter profit came in at 24 million yuan ($3.5 million), or a penny an ADS. Excluding stock-based compensation, profit was 17 cents an ADS.
Net revenue, which excludes business tax and related costs, surged 75% to 5.57 billion yuan.
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(END) Dow Jones Newswires
November 23, 2016 20:05 ET (01:05 GMT)
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