Tag Archives: Qunar

Qunar company news. Find out the latest breaking news for Qunar Cayman Islands Limited (QUNR).
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Qunar, one of China’s largest online travel booking platforms, plans to expand its mobile business with a new $500 million investment

INTERNET: Baidu-Meituan Merger Talk Looks Spicy, But Dicey

Bottom line: Rumors that Baidu may be planning to merge its take-out dining and group buying units with Meituan-Dianping are consistent with recent market trends, but are less likely to be true due to Baidu’s strong denial.

Baidu denies merger plan for group buying, dining units
Baidu denies merger plan for group buying, dining units

I normally try to avoid writing about rumors that lack strong foundation, but the latest gossip about a potential new mega tie-up between 2 non-core units of online search leader Baidu (Nasdaq: BIDU) and group buying giant Meituan-Dianping look too spicy to ignore. Baidu came out with a statement late on Tuesday denying any talks were taking place to combine its take-out dining and Nuomi group buying services with Meituan-Dianping. But that said, any veteran China watcher will know that companies frequently deny such rumors even when they’re true. Read Full Post…

INTERNET: Antitrust Watchdog Finally Gets Tough with Didi, Uber

Bottom line: The antitrust regulator’s decision to review Didi’s proposed union with Uber China marks the start of a new era of much-needed government oversight of major Internet mergers.

Antitrust regulator starts review of Didi-Uber union

After years of turning a blind eye to rapid consolidation in many emerging high-tech industries, China’s anti-trust regulator has finally adopted a more active posture with its recent decision to review the proposed landmark merger of homegrown car services firm Didi Chuxing with the Chinese unit of US rival Uber. The announcement by the Ministry of Commerce that the deal would require its approval caught Didi and Uber by surprise, since such a review would be the first for a major Internet deal since China rolled out its anti-monopoly law 8 years ago. Read Full Post…

INTERNET: China Regulator Putting Brakes on Uber-Didi Mega Marriage?

Bottom line: China’s anti-trust regulator’s assertion that the Didi-Uber China mega-merger will require its approval could mark the beginning of a new, tougher stance towards the nation’s rapidly consolidating Internet sector.

Anti-trust regulator steps into Didi-Uber marriage

After years of sitting by and doing almost nothing to stop the formation of near monopolies in a number of emerging high-tech sectors, China’s anti-trust regulator may finally be taking notice of rapid consolidation happening in the country’s cyber realm. I’ve frequently complained that China’s commerce ministry has taken a relatively tough position on cross-border M&A for anti-competitive reviews, but pays little or no attention to similar domestic deals that could have similar effects for local consumers. But perhaps that may finally be changing, with word that the Ministry of Commerce is saying its blessing will be necessary for the newly announced mega-marriage between private car services giants Didi Chuxing and the China unit of global leader Uber. Read Full Post…

BUYOUTS: Qunar, Sky-mobi Gets New Offers; Autohome War Continues

Bottom line: Qunar looks like the latest Chinese buyout candidate to become involved in a contested bidding war, while Autohome is unlikely to succeed in efforts to stop the sale of a stake in the company by its largest shareholder.

Qunar gets surprise buyout offer

A flurry of headlines from the wave of privatizations by US-listed Chinese companies are in the news as the week winds down, led by word that online travel site Qunar (Nasdaq: QUNR) has become the latest to get a buyout offer. Qunar wasn’t the only one lining up to leave New York, as game specialist Sky-mobi (Nasdaq: MOBI) also announced its own plan to go private. Meantime, a hotly contested privatization by online car specialist Autohome (NYSE: ATHM) has taken a few new twists, and wind power equipment maker Ming Yang (NYSE: MY) says it has just completed its own previously announced privatization. Read Full Post…

China News Digest: June 24, 2016

The following press releases and news reports about China companies were carried on June 24. To view a full article or story, click on the link next to the headline.

  • MIIT to Forbid Non-telcos from Providing Free Enterprise Voice Calling – Reports (English article)
  • Sanpower Group Enters Bidding for McDonald’s (NYSE: MCD) China Stores (Chinese article)
  • Qunar (Nasdaq: QUNR) Announces Receipt of “Going Private” Proposal (GlobeNewswire)
  • Mango TV Raises 1.5 Bln Yuan in Second Funding Round, Valuation Doubles (Chinese article)
  • Huawei Lowers 2016 Smartphone Target by 20 Mln Units – Report (Chinese article)

China News Digest: June 16, 2016

The following press releases and news reports about China companies were carried on June 16. To view a full article or story, click on the link next to the headline.

  • YY (Nasdaq: YY) Announces Withdrawal of Buyer Group’s Going Private Proposal (GlobeNewswire)
  • Ctrip (Nasdaq: CTRP) Reports Unaudited Q1 Financial Results (PRNewswire)
  • Uber Chinese Rival Didi Chuxing Said to End Funding at $28 Bln Value (English article)
  • Installment Plan E-commerce Platform Fenqile Wins $235 Mln Series D Funding (English article)
  • Air China, China Eastern Resume Ticket Sales on Qunar (Nasdaq: QUNR) (Chinese article)

TRAVEL: Ctrip Coopts China Eastern with New Equity Alliance

Bottom line: Ctrip’s new alliance with China Eastern continues its strategy of using equity tie-ups to further cement its position as China’s dominant provider of travel products and services.

Ctrip ties with China Eastern

In what looks like a first for private sector Chinese companies, leading online travel agent Ctrip (Nasdaq: CTRP) has just announced it will invest 3 billion yuan ($460 million) in China Eastern (HKEx: 670; Shanghai: 600115; NYSE: CEA) as part of a new strategic tie up with one of the nation’s top 3 airlines. The deal comes less than a year after US giant Delta Air Lines (NYSE: DAL) invested a similar amount in the Chinese carrier, and provides an important ally for Ctrip with one of its major suppliers.

This deal also comes as Ctrip’s former foe and new ally Qunar (Nasdaq: QUNR) remains locked in its own battle with China’s major airlines in a separate dispute tied to unruly third-party travel agents on its open platform. (previous post) Unlike Ctrip, which sells most of its plane tickets directly to travelers, Qunar’s open platform is home to hundreds of third-party travel agents who are harder to control and sometimes engage in deceptive practices when selling their products and services. As a result, many airlines have recently stopped allowing the sale of their tickets on Qunar’s website. Read Full Post…

INTERNET: Baidu Break-Up Continues with Video Spin-Off

Bottom line: Baidu’s spin-off of its professional video service continues its plan to separate newer loss-making units from its core search business, and could fuel strong profit acceleration for the New York-listed company by year end.

Baidu break-up continues with video unit spin-off
Baidu break-up continues with video unit spin-off

The slow motion break-up of online search leader Baidu (Nasdaq: BIDU) marches on, with word that the company is spinning off its professional video service into a separate company. The move will see the service, Baidu Video, receive 1 billion yuan ($150 million) in new investment as it takes on 2 more partners.

This particular move comes just a week after Baidu detailed a major corporate reorganization that was also aimed at separating out its older and highly profitable search services from its newer businesses, most of those losing big money. (previous post) As a relatively neutral observer, I have to say this particular strategy looks smart as it will help investors see more clearly how Baidu’s different businesses are doing and invest in ones where they see the best potential. Read Full Post…

INTERNET: Baidu Raises Funds, Reorganizes as Spin-Offs Loom

Bottom line: Baidu’s new reorganization is further evidence that the company plans to spin off its newer, money-losing units into separate companies, which could list on China’s OTC-style New Third Board later this year.

Baidu reorganizes

Online search leader Baidu (Nasdaq: BIDU) is in a couple of big headlines as it reportedly prepares to spin off some of its non-core businesses, led by word of a major reorganization that could help facilitate such spin-offs. A separate headline says that Baidu is also in talks for a $1 billion syndicated loan, in a move that is mostly market driven but also aims at getting fresh money to continue funding many of its loss-making newer businesses.

Baidu came under fire last year for its sluggish profit growth, as founder Robin Li insisted he would continue to invest heavily in his company’s loss-making businesses like its Nuomi group buying site and Qunar (Nasdaq: QUNR) online travel agency. Investors punished Baidu’s stock as a result, leading to reports earlier this year that Baidu was planning to spin off many of those businesses into separately listed companies. Read Full Post…

STOCKS: Ctrip Builds Empire with Focus on Travel, Tie-Ups

Bottom line: Ctrip’s stock could be set for strong gains over the next 12 months, thanks to strong profit growth following its recent string of equity tie-ups that have neutralized most of its major competitors.

Ctrip neutralizes rivals with string of tie-ups

In this series on my favorite China-concept stocks, leading online travel agent Ctrip (Nasdaq: CTRP) is the only one that I don’t really like in terms of corporate personality. But that fact aside, there’s still plenty for investors to like about this company that has slowly built up an enviable empire in China’s fast-growing market for travel services.

Ctrip was ahead of the curve with its establishment back in 1999 when China’s Internet and travel industry were both in their infancy. It  was also one of China’s earliest Internet companies to list in the US, making a New York IPO back in 2003. Since then its prospects have soared with China’s booming travel industry, as the company faced relatively little competition for most of its first decade in business. Read Full Post…

TRAVEL: China Southern Deals Big New Blow to Qunar

Bottom line: China’s airlines are likely to permanently ban independent travel agents from selling on Qunar and other third-party platform operators, dealing a serious blow to their air ticketing businesses.

Dead end near for Qunar air tickets?

The bad news just keeps coming for travel agent Qunar (Nasdaq: QUNR), with word that its online sales platform could soon be banned for sale of tickets from China Southern (HKEx: 1055; Shanghai: 600029), the nation’s largest airline. Media are reporting that China Southern is preparing to roll out a wide-ranging new policy to govern the agents who sell its tickets. A key part of that will ban agents from selling China Southern’s tickets over third-party platforms like the one that Qunar operates.

This particular bad news is significant but also incremental, since China’s major airlines have been slowly freezing out Qunar this year due to complaints from people who buy their tickets over the company’s online platform. That platform allows independent travel agents to sell tickets on Qunar’s site, with a growing number of agents using deceptive or even fraudulent practices to make sales. Read Full Post…