TravelDaily – Wanda Tourism is to sign a deal to acquire Hunan-based EnjoyGoing International Travel in a ceremony scheduled to be in Changsha on December 1.
EnjoyGoing Travel has 37 subsidiaries and over 200 directly managed agencies with over 1,500 employees. Its service network covers Hunan, Hainan, Jiangxi, Hubei, Beijing and Guangdong as well as Australia, with gross assets worth RMB137 million. They recorded RMB1.8 in sales, RMB20 million in taxes and handled 530,000 trips in 2012.
Wanda Cultural Group vice president Yueming Mo said in a November 16 interview: “Wanda Tourism has already spent 60% of the initial investment budget of RMB2 billion on acquisitions and our key targets are travel agencies. The next step will be making necessary adjustments according to our business development.”
Mr. Mo also said Wanda Tourism’s goal was to become a travel company with control over resources, in contrast to the traditional travel company model where travel companies merely served as a link between suppliers and customers without control of ticketing, attractions or hotels. “Travel companies are important yet they have low profitability and weak control over resources so we want to tackle this problem by redefining the role of the traditional travel companies to one that has control over resources,” he said.（Translation by David）
