Chinese hotel giant Huazhu Group recently updated its latest share ownership as of March 31, 2022:
* Chairman Qi Ji holds a 30.5% stake in the company as the biggest shareholder
* Co-founder John Jiong Wu owns a 2.4% stake
* Co-founder Tong Tong Zhao controls a 8.2% stake
* Trip.com Group has a 6.9% stake
Transactions with Trip.com Group
Huazhu conducts transactions in the ordinary course of its business with Trip.com Group, an entity in which Mr. Qi Ji, Huazhu's founder, is a co-founder and independent director. Trip.com rendered reservation services to the hotel chain to facilitate its customers in making reservations at our hotels from Trip.com’s hotel booking system.
In 2021, the aggregate commission fees of Huazhu's leased and owned hotels paid to Trip.com for its reservation services amounted to RMB 99 million (USD 16 million). In 2021, the lease expenses of our leased and owned hotel paid to Trip.com amounted to RMB 19 million (USD 3 million).
In 2021, Huazhu provided technical and marketing services to Trip.com and recorded service fees amounted to RMB 62 million (USD 10 million).
Accor is no longer a related party
In January 2016, the Shanghai-based hotelier completed strategic alliance transactions with Accor to join forces in the Pan-China region to develop Accor brands and to form an extensive and long-term alliance with Accor. After the transaction, Accor became one of our principal shareholders and was granted a right to nominate one director to our board of directors.
Huazhu recorded brand use fee, reservation and other related service fee to Accor of RMB 22 million(USD 3 million) in 2021. Huazhu also recognized service fee from Accor of RMB 3 million (USD 0.5 million) in 2021. Mr. Sébastien Bazin resigned as Huazhu's director in December 2021, since then, Accor no longer has any board representation on our board of directors. Accor is no longer Huazhu's related party as of the date of this annual report.