Expedia sold its 62.4 percent stake in eLong, a Chinese travel service, to a number of firms for $671 million, the company announced today. Buyers include Ctrip.com, Keystone Lodging Holdings, Plateno Group and Luxuriant Holdings.
Expedia noted that costs were increasing at eLong earlier this year as the company faced competition in the world’s most populous country, according to the Wall Street Journal. The Seattle-area company began investing in eLong in 2004, raising its stake in 2011.
One of eLong’s biggest competitors, Ctrip.com, now owns 37.6 percent of the travel company in a $400 million buy, according to a separate press release.
Shares of Expedia, which have gained nearly 30 percent this year, are up four percent on the news.