Two main Chinese travel and technology companies, Tencent and Ctrip, partnered to execute an IPO for Chinese OTA Tongcheng-Elong in Hong Kong, raising $160 million in net proceeds.

Tongcheng-Elong will use this towards expansion and technology improvements.

Tencent, which owns WeChat mobile messaging, and China’s largest OTA Ctrip, now hold more than 45% of voting rights between them.

Expedia was the controlling shareholder in Elong until selling its stake to Ctrip in 2015 after making losses, but along with the merger of Tongcheng and Elong in March this year, profits have risen fast to $287.2 million in the first half of 2018.

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